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Notes on an ITO Appliance Approach to Productising and Industrialising IT Outsourcing

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Describes an approach to the development of an IT outsourcing reference architecture that enables rapid and repeatable take-on and delivery of IT outsourcing services consistently through productisation and industrialisation

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Notes on an ITO Appliance Approach to Productising and Industrialising IT Outsourcing

  1. 1. Notes On An ITO Appliance Approach To Productising And Industrialising IT Outsourcing Alan McSweeney http://ie.linkedin.com/in/alanmcsweeney
  2. 2. Objective • Describe an approach to the development of an ITO reference architecture that enables rapid and repeatable take-on and delivery of ITO services consistently through productisation and industrialisation June 8, 2015 2
  3. 3. IT Outsourcing Appliance • ITO Appliance – a standardised, packaged and extendable set of processes/systems that support the take-on, delivery and operation of IT outsourcing services • Repeatable and modular ITO solution to be customised and deployed to operate ITO • ITO Appliance approach enables productised and industrialised ITO • A ITO reference architecture that can be customised to specific implementations and sets of customer requirements • SKU-based ITO service that reduces resources and budgets by lowering the cost of operation and administration June 8, 2015 3
  4. 4. IT Outsourcing Appliance • Proactively address outsourcing pain points and supplier and customer requirements − Infrastructure inventory and asset management − Software license management − Technology refreshes − Changes • Assist in productising and industrialising ITO • Provide a common language between suppliers and customers that fosters understanding of exactly what is being sold and bought • Benefits − Reduce cost of ITO transition and operation − Improve customer service − Enable consistent measurement − Introduce repeatability consistency into outsourcing process − Manage customer expectations − Reduce customer and supplier risk − Improve outsourcing success June 8, 2015 4
  5. 5. ITO Service Delivery Requirement Hierarchy June 8, 2015 5 ITO Service Delivery Personnel, Tools and Facilities Used to enable efficient operation of ITO ITO Service Delivery Delivers the agreed service by efficiently implementing and operating the agreed service management processes Service Management Processes Processes defined to deliver the agreed type and level of service Processes Define What ITO Service Delivery Should Do ITO Service Delivery Requirements Define Required Functionality
  6. 6. Increased Scope and Complexity of Outsourcing Arrangement Layers of Service-Related Processes To Be Handled by ITO Service Delivery June 8, 2015 6 Incident Management Problem Management Service Request Management Event and Alert Management Access Management Change Management Release Management Configuration Management Service Level Management Availability Management Capacity Management Service Continuity Management Financial Management People Management Facilities Management Security Management
  7. 7. Layers of Service-Related Processes To Be Handled by ITO Service Delivery • Outsourcing arrangement encompasses greater set of more complex services that need to be supported by a wider set of service operation and deliver process June 8, 2015 7 Increased Scope and Complexity of Outsourcing Arrangement
  8. 8. Services Actualised By Processes Supported By Resources And Facilities June 8, 2015 8 • Remember: it is not about the service management resources and facilities, it is about the underlying processes the resources and facilities support and use ITO Services Provided to Customers Service Management Approach and Processes Are Made Easier, Faster, Cheaper Through the Effective Implementation and Operation of … Service Management Standards Which Are Defined Using Standards and Frameworks for Rapid Implementation Such As … Service Management Resources and Facilities Which in Turn Are Implemented and Operated Using Appropriate …
  9. 9. Services Actualised By Processes Supported By Resources And Facilities June 8, 2015 9 ITO Services Provided to Customers Service Management Approach and Processes Are Made Easier, Faster, Cheaper Through the Effective Implementation and Operation of … Service Management Standards Which Are Defined Using Standards and Frameworks for Rapid Implementation Such As … Service Management Resources and Facilities Which in Turn Are Implemented and Operated Using Appropriate … Define The ITO Services That Can Be Cost-Effectively and Credibly Provided and Which Customers Want And Will Buy 1 Define The Services Management Processes That Will Make Service Delivery Easier, Most Cost Effective, More Consistent 2 Select a Resources and Facilities That Meets Service Management Implementation and Operation Requirements and Constraints 3
  10. 10. Manage And Deliver On Customer Expectations During ITO Service June 8, 2015 10 Customer Experience Service Delivery Over Time ITO Service Negotiation ITO Service Transition ITO Service Delivery Customer Expectations Actual Customer Experience + + + + + + + ITO Service Definition ITO Service Configuration and Pricing ITO Contract Signing ITO Service Transition ITO Service Delivery ITO Service Changes ITO Service Reporting
  11. 11. Productised And Industrialised ITO Enables Management And Delivery On Customer Expectations During ITO Service June 8, 2015 11 Customer Experience Service Delivery Over Time Service Negotiation Service Transition Service Delivery Customer Expectations Actual Customer Experience + + + + + + + ITO Service Definition ITO Service Configuration and Pricing ITO Contract Signing ITO Service Transition ITO Service Delivery ITO Service Changes ITO Service Reporting
  12. 12. June 8, 2015 12 Preventing The Outsourcing Death Spiral Naive And Simplistic Expectations Over-Dependence On Service Provider As Strategic Partner No Governance Model Insufficient Understanding Of Current State Of Services Being Outsourced No Defined Outsourcing Strategy No Service Catalogue No Defined Future Operating Model Or Architecture Oversimplification Of Outsourcing Process Underestimated And Unquantified Resource Commitment Invalid Assumptions Unarticulated Expectations Incomplete Contract Incomplete SLAs/OLAs Insufficient Management And Oversight Lengthy Negotiations Unanticipated And Large Out- Of-Scope Services High Management Resources And Costs Backsourcing/ Insourcing/ Circumvention of Arrangement Development Of Parallel IT Services Constant Renegotiations Breakdown Of Relationship
  13. 13. ITO Operation And Service Management • Individual ITO services have attributes that define/ modify/ specify/ customise their delivery • Attributes can define the cost of service delivery • Operation of ITO services governed by service management processes June 8, 2015 13 ITO Service Service Management Process ITO Service Implemented by Service Management Processes Service Management Process Service Attribute/ Characteristic Service Attribute/ Characteristic Service Attribute/ Characteristic Service Attribute/ Characteristic Service Attribute/ Characteristic Service Attribute/ Characteristic
  14. 14. ITO Operation And Service Management • An ITO solution as sold to a customer will consist of a customised package of ITO service components • Services included in ITO solution will define the implementation and operational requirements • Aggregated services will have common requirements and attributes June 8, 2015 14 ITO Service 1 Service Management Process 1 Service Management Process 2 ITO Solution ITO Service 2 ITO Service 3 Service Management Process 3 Service Management Process 4 Service Management Process 5 ITO Solution as Sold Consists of a Number of ITO Services ITO Services Controlled by Service Management Processes
  15. 15. ITO Service Configuration Sample • Characteristics of service define its cost, resources required, complexity and other factors • Define attributes associated with services to ensure service configured correctly so they can be costed and delivered June 8, 2015 15 ITO Service Coverage 8 x 5 12 x 5 12 x 6 7 x 24 SLA 30 Minutes 1 Hour 2 Hours 4 Hours Number of Units Covered 1,000 2,000 3,000 4,000 5,000 Locations 1 2 3 Team Location Local Remote
  16. 16. Standardisation Of ITO Services June 8, 2015 16 IT Outsourcing Services Service Delivery Supporting Technology Service Delivery Management Processes IT Outsourcing Implementation, Deployment and Operating Models Services Packaged in Deployment Models Provision of Managed Through Standardised Processes Provision of Operated Through Standardised Technology and Tools Standardised Technology and Tools Form Part of Deployment Models Standardised Processes Form Part of Deployment Models
  17. 17. Process-Oriented View Of Outsourcing Desktop/ Terminal Communications/ Network Data Centre On Premise Infrastructure Storage Service/ Support Desk Application Management Incident Management Problem Management Service Request Management Event and Alert Management Access Management Change Management Release Management Configuration Management Service Level Management Availability Management Capacity Management Service Continuity Management Financial Management People Management Facilities Management Security Management June 8, 2015 17 Type/Nature of Outsourcing Arrangement/Service Depth and Level of Service
  18. 18. Process-Oriented View Of Outsourcing Desktop/ Terminal Communications/ Network Data Centre On Premise Infrastructure Storage Service/ Support Desk Application Management Incident Management Problem Management Service Request Management Event and Alert Management Access Management Change Management Release Management Configuration Management Service Level Management Availability Management Capacity Management Service Continuity Management Financial Management People Management Facilities Management Security Management June 8, 2015 18 Type/Nature of Outsourcing Arrangement/Service Depth and Level of Service Simple Outsourcing Service Complex Outsourcing Service
  19. 19. Process-Oriented View Of Outsourcing • Type/Nature of Outsourcing Arrangement/Service, such as: − Desktop/Terminal − Communications/Network − Data Centre − On Premise Infrastructure − Storage − Service/Support Desk − Application Management • Depth and Level of Service − What level of service is being provided and therefore what service management processes are needed to deliver the service? June 8, 2015 19
  20. 20. ITO In Business Context June 8, 2015 20Applications, Systems and Infrastructure IT and Business Processes and Services Business and Users Customers BusinessUsingIT ITDeliveringBusinessNeeds Scope of ITO Service
  21. 21. ITO In Business Context June 8, 2015 21 Applications, Systems and Infrastructure IT and Business Processes and Services Business and Users What is Being Managed Here … … Delivers a Service Here … And Here
  22. 22. ITO In Business Context June 8, 2015 22 Applications, Systems and Infrastructure IT and Business Processes and Services Business and Users Reporting And Alerting Here … … Allows Service Reporting Here … And Here
  23. 23. ITO Service Operation And Delivery Process Framework ITO Service Delivery Service Strategy Service Portfolio Management Financial Management Service Design Service Catalogue Management Service Level Management Risk Management Capacity Management Availability Management IT Service Continuity Management IT Security Management Compliance Management IT Architecture Management Supplier Management Service Transition Change Management Project Management (Transition Planning and Support) Release and Deployment Management Service Validation and Testing Application Development and Customisation Service Asset and Configuration Management Knowledge Management Service Operation Event Management Incident Management Request Fulfilment Access and Identity Management Problem Management IT Operations Management IT Facilities Management Continual Service Improvement Service Evaluation Process Evaluation Definition of CSI Initiatives CSI Monitoring June 8, 2015 23
  24. 24. ITO Service Operation And Delivery Process Framework • Extensive set of services management processes available to manage the delivery ITO services – from simple to complex • Customer can be enabled to select ITO operational options • Associated defined service delivery process will ensure ITO supplier can accurately assess the impact of providing selected options • For each service option there is an associated process that manages its delivery June 8, 2015 24
  25. 25. Process-Oriented View Of Outsourcing June 8, 2015 25 Type of outsourcing service Depth and breadth of outsourcing service – the What Scope of operation of outsourcing arrangement Service management and delivery processes – the How =+ Processes define the way in which the service is operated, delivered and managed – linking the what to the how For every service, there is an associated delivery process
  26. 26. Explicit And Implicit ITO Services • In any ITO operation, there will be two sets of services being provided: 1. The outsourcing services explicitly sold 2. Underlying enabling services that are being provided to control the provision of the core outsourcing services June 8, 2015 26 IT Outsourcing Services Operational Services Supporting Services and Associated Technology Services As Sold To The Customer Consists of … ITO Services As Sold Controlling, Managing, Enabling, Reporting, Supporting Services Above the Line - Explicitly Sold and Provided Below the Line – Implicitly Sold and Provided
  27. 27. Dimensions Of Classification Of Outsourcing Arrangements June 8, 2015 27 Services Being Provided Supporting and Ancillary Processes and Related Technology, Systems and Service Delivery Arrangements Service Management System Deployment and Operational Scenarios
  28. 28. Dimensions Of Classification Of Outsourcing Arrangements June 8, 2015 28 Implementation 1 Implementation 2 Implementation 3 Services Being Provided Supporting and Ancillary Processes and Related Technology, Systems and Service Delivery Arrangements Service Management System Deployment and Operational Scenarios
  29. 29. Generalised ITO Component Deployment Framework June 8, 2015 29 Customer Users Customer Service Desk System Customer Managed Infrastructure Offsite Portal Customer Managed Applications Service Desk System Onsite ITO Delivery Team Offsite ITO Delivery Team Offsite L2/L3 Support Onsite CMDB Onsite Configuration Discovery Onsite Known Error Database Workforce Management and Scheduling Offsite CMDB Offsite Known Error Database Customer Support Team Offsite Application Password Reset Onsite Application Password Reset Warranty and Parts Management Supplier Onsite Service Desk System Onsite Portal Customer Location Service Provision Centralised Location Offsite Configuration Discovery Onsite Event/Alert Handler Offsite Event/Alert Handler
  30. 30. Generalised ITO Component Deployment Framework • Deployment and operation of ITO services is another SKU dimension when defining ITO product • Supported by appropriate set of tools − Tools are key to productised and industrialised ITO June 8, 2015 30
  31. 31. Generalised ITO Component Deployment Framework June 8, 2015 31 Customer Users Customer Service Desk System Customer Managed Infrastructure Offsite Portal Customer Managed Applications Service Desk System Onsite ITO Delivery Team Offsite ITO Delivery Team Offsite L2/L3 Support Onsite CMDB Onsite Configuration Discovery Onsite Known Error Database Workforce Management and Scheduling Offsite CMDB Offsite Known Error Database Customer Support Team Offsite Application Password Reset Onsite Application Password Reset Warranty and Parts Management Supplier Onsite Service Desk System Onsite Portal Customer Location Service Provision Centralised Location Offsite Configuration Discovery Onsite Event/Alert Handler Offsite Event/Alert Handler 1 2 23 3 4 6 7 9 10 11 12 13 20 21 22 15 16 18 19 24 8 175 14
  32. 32. Generalised ITO Component Deployment Framework 1. Customer Users – this represents the end users of the ITO service 2. Onsite ITO Team –team based on the customer site providing the service to the customer and its users 3. Customer Service Desk System –the customer has a separate service management system that must be used by support personnel or that must be interfaced with by the service management system 4. Onsite Service Desk System – the customer has requested that the supplier service management system must be installed onsite 5. Onsite Event/Alert Handler – this will receive, consolidate and process events/alerts received from infrastructure under management and will be located on the customer premises 6. Customer Support Team – the support team may need to work with the customer’s (or a third party) support team to work on incidents and problems 7. Onsite CMDB – if there is an onsite separate service management system it will maintain its own CMDB 8. Onsite Portal – there may be a separate portal located on the customer’s site that provides a centralised point of information and application access 9. Customer Managed Infrastructure – this is the (subset of) customer infrastructure (hardware and possibly infrastructure-related applications) being managed by as part of the ITO contract 10. Onsite Configuration Discovery – there may be an onsite tool that performs onsite asset and configuration discovery 11. Onsite Known Error Database – if there is an onsite separate service management system it will maintain its own error database 12. Customer Managed Applications – this is the (subset of) customer applications being managed by as part of the ITO contract 13. Onsite Application Password Reset – the customer’s users may be provided with a facility (accessed by the portal or otherwise) that is located onsite where requests to reset password to applications are processed 14. Offsite Event/Alert Handler – this will receive, consolidate and process events/alerts received from infrastructure under management and will be located outside the customer premises 15. Offsite ITO Team(s) – the service to the customer may be provided by or supplemented by personnel from offsite team(s) 16. L2/L3 Support – incidents and problems within the site may be escalated to level 2 and level 3 support 17. Offsite Configuration Discovery – asset and configuration discovery may be performed by an offsite tool 18. Service Desk System – the service management system used to support the customer’s IT service management processes may be located offsite, either as a shared or dedicated facility 19. Warranty and Parts Management – manage any additional infrastructure required, provide break-fix services 20. Offsite Portal – there may be a shared multi-tenant portal located on in facility that provides a centralised point of information and application access 21. Offsite CMDB – if there is an offsite shared or dedicated service management system it will maintain its own CMDB 22. Workforce Management and Scheduling – the service to the customer may be provided by or supplemented by personnel from offsite team(s) 23. Offsite Application Password Reset– the customer’s users may be provided with a facility (accessed by the portal or otherwise) that is located offsite where requests to reset password to applications are processed 24. Offsite Known Error Database – if there is an offsite shared or dedicated service management system it will maintain its own error database June 8, 2015 32
  33. 33. Generalised ITO Component Deployment Framework – Key Design Principles • Emphasise self-service through user access to known errors and issues database and to user-initiated password reset • Implement portal to provide centralised customer user access to information • Implement infrastructure discovery and management through CMDB • Implement automation of error handling and processing through alert and event management June 8, 2015 33
  34. 34. Generalised ITO Component Deployment Framework • Generalised set of components that depend on outsourcing deployment and operating model, such as: − ITO service delivery must occur on customer premises − ITO service delivery can be offsite but must be dedicated − ITO service delivery can be offsite but must located in a specific geographical region − ITO service delivery can be offsite and shared subject to security restrictions • And other factors, such as: − Customer has existing service management facility that ITO service provider must interface with − No external service management facility interface required June 8, 2015 34
  35. 35. Generalised ITO Component Deployment Framework – Sample Architecture Options 1. Customer has existing service management system that the ITO supplier system must interface with and no restrictions on ITO supplier service management system 2. Customer has existing service management system that the ITO supplier system must interface with and ITO supplier service management system must be installed on customer premises 3. Customer has existing service management system that the ITO supplier system must interface with and ITO supplier service management system can be offsite but must be dedicated 4. Customer has existing service management system that the ITO supplier system must interface with and ITO supplier service management system can be offsite but must located in specific geographical region 5. Customer has existing service management system that the ITO supplier system must interface with and ITO supplier service management system can be offsite and shared subject to security restrictions 6. No customer service management system interface required and no restrictions on ITO supplier service management system 7. No customer service management system interface required and ITO supplier service management system must be installed on customer premises 8. No customer service management system interface required and ITO supplier service management system can be offsite but must be dedicated 9. No customer service management system interface required and ITO supplier service management system can be offsite but must located in specific geographical region 10. No customer service management system interface required and ITO supplier service management system can be offsite and shared subject to security restrictions June 8, 2015 35
  36. 36. 1- Customer Has Existing Service Management System That The ITO Supplier System Must Interface With And No Restrictions on ITO Supplier Service Management System June 8, 2015 36 Customer Users Customer Service Desk System Customer Managed Infrastructure Offsite Portal Customer Managed Applications Service Desk System Onsite ITO Delivery Team Offsite ITO Delivery Team Offsite L2/L3 Support Onsite CMDB Onsite Configuration Discovery Onsite Known Error Database Workforce Management and Scheduling Offsite CMDB Offsite Known Error Database Customer Support Team Offsite Application Password Reset Onsite Application Password Reset Warranty and Parts Management Onsite Portal Customer Location Service Provision Centralised Location Offsite Configuration Discovery 1 2 23 3 6 7 9 10 11 12 13 20 21 22 15 16 18 19 24 8 17
  37. 37. 2 - Customer Has Existing Service Management System That The ITO Supplier System Must Interface With And ITO Supplier Service Management System Must Be Installed On Customer Premises June 8, 2015 37 Customer Users Customer Service Desk System Customer Managed Infrastructure Customer Managed Applications Onsite ITO Delivery Team Offsite ITO Delivery Team Offsite L2/L3 Support Onsite CMDB Onsite Configuration Discovery Onsite Known Error Database Workforce Management and Scheduling Customer Support Team Onsite Application Password Reset Warranty and Parts Management Supplier Onsite Service Desk System Onsite Portal Customer Location Service Provision Centralised Location Onsite Event/Alert Handler 1 2 3 4 6 7 9 10 11 12 13 22 15 16 19 8 5
  38. 38. 3 - Customer Has Existing Service Management System That The ITO Supplier System Must Interface With And ITO Supplier Service Management System Can Be Offsite But Must Be Dedicated June 8, 2015 38 Customer Users Customer Service Desk System Customer Managed Infrastructure Offsite Portal Customer Managed Applications Service Desk System Onsite ITO Delivery Team Offsite ITO Delivery Team Offsite L2/L3 Support Onsite CMDB Onsite Configuration Discovery Onsite Known Error Database Workforce Management and Scheduling Offsite CMDB Offsite Known Error Database Customer Support Team Offsite Application Password Reset Onsite Application Password Reset Warranty and Parts Management Onsite Portal Customer Location Service Provision Centralised Location Offsite Configuration Discovery Onsite Event/Alert Handler Offsite Event/Alert Handler 1 2 23 3 6 7 9 10 11 12 13 20 21 22 15 16 18 19 24 8 175 14
  39. 39. 4 - Customer Has Existing Service Management System That The ITO Supplier System Must Interface With And ITO Supplier Service Management System Can Be Offsite But Must Located In Specific Geographical Region June 8, 2015 39 Customer Users Customer Service Desk System Customer Managed Infrastructure Offsite Portal Customer Managed Applications Service Desk System Onsite ITO Delivery Team Offsite ITO Delivery Team Offsite L2/L3 Support Onsite CMDB Onsite Configuration Discovery Onsite Known Error Database Workforce Management and Scheduling Offsite CMDB Offsite Known Error Database Customer Support Team Offsite Application Password Reset Onsite Application Password Reset Warranty and Parts Management Onsite Portal Customer Location Service Provision Centralised Location Offsite Configuration Discovery Onsite Event/Alert Handler Offsite Event/Alert Handler 1 2 23 3 6 7 9 10 11 12 13 20 21 22 15 16 18 19 24 8 175 14
  40. 40. CMDB Is A Key Component Of Productised ITO • Need to have a controlled Configuration Management environment that enables the tracking, recording, and reporting of Configuration Items (CIs) in the managed/ supported IT infrastructure − Ensure accurate inventory of infrastructure within the scope of the ITO service − Assess the impact of a service failure quickly − Identify the components that make up a service so that Service Level Objectives (SLOs) can be defined and availability measurements can be identified − Assess the risk associated with the implementation of a change to the production environment − Cost and price IT services accurately • CMDB is at the core of Configuration Management • CMDB is a key enabler of efficient Configuration Management • CMDB provides a framework for event and alert management, storing configuration items against which alerts are tracked June 8, 2015 40 Service Management Processes Configuration Management CMDB
  41. 41. Effective CMDB Assists The ITO Process • Effective Configuration Management and CMDB also drives sales processes − Due diligence − Warranty − Replacement − Upgrade − Refresh − Additional capacity June 8, 2015 41 Sales Processes Service Management Processes Configuration Management CMDB
  42. 42. ITO Transition Process And ITO Delivery Lifecycle • Asset discovery and subsequent asset management is important to effective productised and industrialised ITO June 8, 2015 42 Service Negotiation and Contract Signing Pre-Operation and Pre-Integration Start ITO Service Transition ITO Service Standardisation and Transformation Steady State Operation of Service Initial Transition Plan Pre-Contract Due Diligence Final Transition Plan Integration Preparation Transition Initiation Finalise Integration Solution Architecture Transition Completed Transformation Completed Technology Refreshes Changes Post Contract Due Diligence Verification
  43. 43. Asset Management During ITO Transition Process And ITO Delivery Lifecycle June 8, 2015 43 Service Negotiation and Contract Signing Pre-Operation and Pre-Integration Start ITO Service Transition ITO Service Standardisation and Transformation Steady State Operation of Service Initial Transition Plan Pre-Contract Due Diligence Final Transition Plan Integration Preparation Transition Initiation Finalise Integration Solution Architecture Transition Completed Transformation Completed Technology Refreshes Changes Post Contract Due Diligence Verification Asset Discovery and CMDB Maintenance During the Life of ITO Service Service Delivery
  44. 44. Idealised CMDB Components And Operation June 8, 2015 44 CMDB Management System Automated CI Discovery and CMDB Population Tool CMDB Data Access and Entry CMDB Query and Maintenance Links to Service Management Systems and Processes CI Usage and Performance Collection Tool CI Alerting Collection Tool Links to Asset Management Systems and Processes Analysis Billing System = Core CMDB Components Data Transformation and Normalisation Data Collection Scheduling Facility Data Warehouse Infrastructure Being Managed
  45. 45. CMDB Data Collection • CMDB data collection − Infrastructure configuration and changes − Events and alerts − Performance and usage June 8, 2015 45 Collect Configuration, Performance, Alert Data CMDB Users
  46. 46. CMDB High-Level Data Structure • CMDB holds data for configuration of infrastructure being managed by ITO service • Each customer can have one or more solution being managed • Each solution can consist of a package of multiple hardware and software components combined with a set of initial and on-going services (entitlements, warranty, upgrades, refreshes) June 8, 2015 46 CMDB Location Package Hardware Static Data Dynamic Data Software Static Data Dynamic Data Services Static Data Dynamic Data Virtual Objects Static Data Dynamic Data Static Data Dynamic Data Static Data Dynamic Data
  47. 47. Dimensions Of SKUs Of Outsourcing Service June 8, 2015 47 1. Type Of Outsourcing Service + 2. ITO Component Deployment Framework + 3. Depth and Breadth of Outsourcing Service = ITO Offer
  48. 48. Hierarchy Of ITO Offer ITO Offer Contract Terms and Conditions Deployment and Operation Discounts ITO Solution Configuration Deployment Set of Services ITO Product(s) ITO Product ITO Product ITO Product June 8, 2015 48
  49. 49. Dimensions Of SKUs Of Outsourcing Service • Enable ITO service catalogue to be defined • Enable productisation of ITO June 8, 2015 49
  50. 50. ITO Industrialisation and Productisation • ITO productisation is a pre-requisite for and an enabler of ITO industrialisation June 8, 2015 50 ITO Productisation Defined Set of ITO Services and Packaging Options ITO Industrialisation Common Deployment, Implementation and Operation Approaches
  51. 51. ITO Industrialisation and Productisation June 8, 2015 51 ITO Productisation Defined Set of ITO Services and Packaging Options ITO Industrialisation Common Deployment, Implementation and Operation Approaches Supplier Representation of ITO Services Supplier Delivery of ITO Services = =
  52. 52. ITO Industrialisation and Productisation • Approach not for every outsourcing arrangement − Complex ITO arrangements will not lend themselves to this approach • Approach can also be used for in-house IT management June 8, 2015 52
  53. 53. Summary • ITO Appliance approach is a standardised, packaged and extendable set of processes/systems that support the take-on, delivery and operation of IT outsourcing services − SKU-based ITO service that reduces resources and budgets by lowering the cost of operation and administration • Approach enables productised and industrialised ITO • Provides a common language between suppliers and customers that fosters understanding of exactly what is being sold and bought • Processes define the way in which the service is operated, delivered and managed – linking the what to the how − For each service option there is an associated process that manages its delivery • Tools are key to productised and industrialised ITO • CMDB and associated asset discovery and subsequent asset management is key component of effective productised and industrialised ITO • ITO productisation is a pre-requisite for and an enabler of ITO industrialisation June 8, 2015 53
  54. 54. June 8, 2015 54 More Information Alan McSweeney http://ie.linkedin.com/in/alanmcsweeney

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