2012 0229 Getting To Bus Value Webcast Final

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Getting to Business Value: A Review of BSM Maturity Survey Results by BSMReview.com …

Getting to Business Value: A Review of BSM Maturity Survey Results by BSMReview.com

Introduction to NetIQ\'s Business Service Management Solution

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  • For VAR’s, the money is right at the center of this convergence!

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  • 1. Getting to Business Value through IT Findings of 2011 BSM Maturity Benchmark Survey
  • 2. About BSMReview – Survey Source Online Community - BSM Best Practices Thought Leading Content Vendor Independent Community Focus On Next Steps For Successful BSM Features Cadre Of Experts
  • 3. Cadre of Contributing Experts Bill Keyworth (Gartner VP) BSM Peter Armstrong (former ITIL Experts Troy DuMoulin (Pink Elephant) BMC) Experts Peter J. McGarahan (ITSM guru) Jeroen Bronkhorst (HP) Robert Stroud (CA ITSM evangelist) Matthew Burrows (itSMF Sharon Taylor (former chief architect of UK) ITIL) Peter Doherty (CA) Ken Turbitt (ITIL v3 guru/HP) Doug McClure (IBM) Paul Wilkinson (ITIL Author/Consultant) Ariel Gordon (Neebula) Tom Bishop (former CTO BMC) Enterprise IT Malcolm Fry (IT industryJohn Seely Brown (former Chief Scientist Experts luminary) Technical/Business Israel Gat (Agile industry expert)PARC) LuminariesJohn Hagel III (Deloitte Center for the Bob Multhaup (IT BusinessEdge) Modeling) Rich Ptak (IT Industry Research) Annie Shum, PHD (Performance)
  • 4. Website DemographicsTitles: CIO, Vice President,Director, Manager, Staff 34,254 subscribers Representing 9200+ companies Roles: Information Technology Strategy & Architecture Operations Company Size (employees) Strategic Planning • 43% (5000+) Global Operations • 18% (1000 – 4999) Managed Services • 23% (99 -- 999) Technical Support Service and Support • 16% (under 99) Systems & Performance Management Application Performance Network and System Security Governance and Compliance, …
  • 5. Survey DemographicsResponse Industry Sector Company Size 25% 17% 20% 16% 16% 20% 15% 43% 23% 47% 18% 10% 5% 1 to 99 0% 99 to 999 1000 - 4999 5000+
  • 6. BSM Maturity ModelLevel IT Business Maturity Business Business Maturity Benefits Metric 5 Pervasive Market Leadership Sustained Market Expansion Competitive Advantage 4 Optimized Competitive Product & Service Market Differentiation Leadership Penetration 3 Aligned Business Value Customer Profit Acquisition & Maximization Retention 2 Predictive Secure & Reliable Cost Effective Revenue Focuses Operations Operations 1 Essential Business Technology Minimize IT Fundamentals Supporting Investment Business
  • 7. Getting to Business Value …thru IT? Desired StateBSMReview Insight Business Maturity Leader Sustain Utility Strategic IT Operational Maturity
  • 8. Getting to Business Value …thru IT? Desired StateBSMReview Insight Business Maturity Leader Not Aligned Aligned Strategic Business Strategic Immature IT Innovative Sustain Aligned Not Aligned Utility Strategic IT Cost Efficient Immature Business Utility Strategic IT Operational Maturity
  • 9. Getting to Business Value …thru IT? Desired StateBSMReview Insight Current Business Maturity Leader Reality Not Aligned Strategic Business Immature IT Aligned Sustain Utility Cost Efficient Utility Strategic IT Operational Maturity 1
  • 10. BSM Maturity Assessment Converge on the definition of BSM Assess both IT and Business maturity
  • 11. Increasing consensus that business needs drive definition of BSM BSM Definition ResponseResponse BSM is measurable activity for aligning IT with business objectives 34.9% BSM is a business-oriented approach to IT operations and deliverables 31.8% BSM is a (mature) process oriented approach to 17.1% IT service management BSM focuses on "running IT as a business entity" 11.6% BSM is managing and analyzing application 3.9% performance
  • 12. Conflicting Views of Technology Contribution Response Options Business IT ViewResponse (Strongly agree and agree) View We use technology to create product and 84% 55% service leadership in our industry We leverage technology to focus on 84% 75% customer acquisition and retention We use technology to ensure cost 91% 80% effective operations Our technology provides us with a unique, sustained competitive 83% 30% advantage We limit the use of technology to basic business functions 42% 67% 2
  • 13. How does your company recognizethe benefit from technology?“ … is a key component to delivering quality with speed to market” “… allows us to provide exceptional patient care” “… enables top line revenue growth and margin improvement”“… improved finding of Oil & Gas and the development of these assets” “… reduced operational costs & increased customer satisfaction”“We are a technology center …technology is our livelihood”
  • 14. How IT Investment Decisions are Made Best Case “IT investments are determined by addedResponse value, effectiveness and efficiency of the business” Typical Case “Investments build a global infrastructure and product set that should improve efficiency and drive business” Worst Case “IT investments are always reactionary”
  • 15. Business/IT Culture How business and IT work toward analignment Perceptions of IT based on role and title
  • 16. Evidence of Collaboration is Minimal IT is trusted to do the "right" thing in 26% 25%Response leveraging technology for business benefits Business effectively leverages IT for core operating processes (supply 30% 33% chain, CRM, product innovation...) IT has a history of success in automating 26% 25% business process improvements IT is recognized for contributing to reduction in production costs of existing products & 33% 34% services Business feels IT is responsive to reasonable IT requests, not expecting IT 30% 52% miracles Business does not trust IT and has minimum confidence in IT meeting business 19% 30% needs Biz View IT View 3
  • 17. How do business and IT interact/cooperate in your company? “IT has a history of not delivering on time or budgetResponse & when on-time functionality doesn’t work” “The business submits work requests, IT determines required and available resources, and business prioritizes projects” “We are a large organization, so trust is higher in some areas than others.” “Executive level is NOT yet supportive of a single approach or point of view” “Business is beginning to participate in governance activities to prioritize IT projects”
  • 18. Technology Understanding is a GAP Strongly Agree/AgreeResponse Is core to strategic business execution 70% 74% Is an early adopter of leading edge 36% 86% technologies Provides real-time visibility into 48% 96% business impact of technology issues Uses only proven, safe technologies 66% 75% that have been validated and tested… Has little to no technical strategy 48% 50% (services are managed to be "good… IT View Biz View 4
  • 19. Service Level Management Impact of service performance Impact of outages on businessoperations
  • 20. Business/Executives View Metrics Improving Improved or Stayed the SameResponse Business View IT View 95% 90% 90% 84% 80% 77% 70% 70% 73% 70% 65% 65% 66% 60% Service Time between Service Time between Number of Business staff Understanding
  • 21. Limited Alignment of “Business Impact” Business Impact Executives Mid-Level IT StaffResponse Lost Revenues Medium High Medium Poor Customer Retention Low Medium Medium High Increased Time-to-Market Low Medium Medium Decreased Business Low Medium Medium Agility Employee Productivity High High High Increased Cost to Medium Medium Medium Business Operations High Visibility to External Medium Medium Medium Customers High 5
  • 22. Improving IT performance metrics “Find better ways to leverage existingResponse technology” “The things that declined are good things” “Need to hold staff accountable” “Meetings and more meetings … but nobody with the guts to truly change.” “We’re implementing an improved ITSM toolkit and plan to soon have metrics available.”
  • 23. Focus on “Process” to Improve ServiceResponse 66.3% 38.4% 16.3% 29.1% 31.4% 12.8%
  • 24. What ITIL v2 process capabilities are you using today and planning to use? ImplementedResponse 79% 66% 60% 54% Incident Change Problem Service Management Management Management Request Management
  • 25. What ITIL v3 process capabilities are you using today and planning to use? Top ITIL 3 PlannedResponse 35% 36% 41% 44% 49% 54% 6
  • 26. Conclusions Business maturing faster than IT IT/Business disparity too significant to ignore Business has optimistic but dated view oftechnology IT needs to “market IT’s unique differentiations Strong benefits for roles with cross fertilization
  • 27. Recommendations Executive with IT/Business alignmentresponsibility Benchmark both IT & Business maturity fornext steps State-of-the-Business workshop for IT Annual “Technology for Business Summit” Provide vision & insight to technology trends IT Marketing Strategy/Plan for IT brand identity7
  • 28. Questions? Feedback FormsSurvey Results: www.bsmreview.com Contact Info: bkeyworth@bsmreview.com
  • 29. Getting to Business Value through IT: BSMReview.com 2011 Survey FindingsMichele HudnallSolution MarketingFebruary 29, 2012
  • 30. New Technologies (Change)Mean New Complexity Virtualization Cloud“Anything” as a Service Mobile devices
  • 31. ComplexityDecreases Value Virtualization Cloud Downward Pressures on Achieving Success“Anything” as a Service Mobile devices
  • 32. IT Departments Are Under Great Pressure Growing list of alternatives32
  • 33. STRATEGY Secure Manage Measure PHYSICAL VIRTUAL CLOUD Allows you to securely deliver, manage and measure computingservices across physical, virtual and cloud computing environments
  • 34. SOLUTIONS Identity, Security Data Center and ComplianceManagement Management
  • 35. Operations CenterTransforming IT to Drive Value and Competitive Advantage“Giving IT the ability to answer:” • Are we open for business? • How well are we performing? • What is my current risk of outage?“driving an organizations performance with technology requires the ability to transform the sea of technical data into actionable, intelligent information .”
  • 36. What IT Needs is Control Key Value. . . Transforming Data into Actionable, Intelligent Information Delivered Through a Single, Consolidated View of Service Performance Asset Data Business KPIs Service Desk Configuration 1. Are we open for business? 2. How well are we performing? Performance Availability 3. What is our current risk?36 © 2011 NetIQ Corporation. All rights reserved.
  • 37. What Makes it Compelling?Orders to Cash – Open for Business & Performing – It’s Simple “A Picture is Worth a Thousand Words” IT Making a Difference37 © 2011 NetIQ Corporation. All rights reserved.
  • 38. Business Value – Operations Center It’s about the Service – It’s all about the Business Deliver Service Measuring Operate ControlService Monitoring Service Mapping Management Technology Performance Configuration Service Desk and Availability Applications Infrastructure Physical Virtual Cloud 38 © 2011 NetIQ Corporation. All rights reserved.
  • 39. Operations Center Many Roles – Many Views – Configurable by Role Network Services SLA Compliance IT Management Service Impacting Events Cost OrganizationsOrder Processing 1 – 2% of Revenue Annually Availability Management Multi Metric Monitoring39 © 2011 NetIQ Corporation. All rights reserved.
  • 40. Large enough to deliver, small enough to care.Large $350 Customer Strong TechnicalFocusedISV Million Service Vision Expertise www.netiq.com/BSM
  • 41. This document could include technical inaccuracies or typographical errors. Changes areperiodically made to the information herein. These changes may be incorporated in neweditions of this document. NetIQ Corporation may make improvements in or changes to thesoftware described in this document at any time.Copyright © 2011 NetIQ Corporation. All rights reserved.ActiveAudit, ActiveView, Aegis, AppManager, Change Administrator, Change Guardian, Compliance Suite, thecube logo design, Directory and Resource Administrator, Directory Security Administrator, Domain MigrationAdministrator, Exchange Administrator, File Security Administrator, Group Policy Administrator, Group PolicyGuardian, Group Policy Suite, IntelliPolicy, Knowledge Scripts, NetConnect, NetIQ, the NetIQ logo, PSAudit,PSDetect, PSPasswordManager, PSSecure, Secure Configuration Manager, Security Administration Suite,Security Manager, Server Consolidator, VigilEnt, and Vivinet are trademarks or registered trademarks of NetIQCorporation or its subsidiaries in the United States.