When your organization needs more than just ITIL® and COBIT® In today’s IT landscape, there are continuous demands for CIOs to show business value and to cut waste and cost from the IT Service Management delivery processes. This is where Lean IT can help extract the value and remove the waste. We’re moving away from an era where adding manpower was the way to increase quality of service or to reduce time to market of IT change. We now live in a time where processes themselves not only need be effective, but cost effective as well. Is what we do really necessary? What can be minimalized? Applying lean principles will not only “cut the fat”, but strikes a balance for continuous service improvement.

1. Boost
IT Service Management
with Lean IT

2. Quint Wellington Redwood
 Established in 1992 in Amsterdam
 More than 250 consultants globally
 Operations covering 49 countries
 Core business: Sourcing, Architecture, Governance, Lean IT
Service Management & DevOps
 Listed as Top Global Advisor on Sourcing & Governance
 Trendsetter in IT Service Management, Lean IT & DevOps
Quint is a global consulting firm dedicated to the improvement
of IT’s value to the business

3. 1. Gaining perspective over your entire scope of processes
2. Understanding some key differences between ITSM and Lean IT
3. Identifying and reducing wait time and waste
4. Focusing IT services on processes that deliver business value
5. Common pitfalls for those looking to “get lean”
Objectives of this presentation
How do I lower costs
and increase the
capacity for
innovation?

4. The Not So Good News …
You’ve invested in ITSM …
… but you’re not getting the results you expected

5. What’s missing?
 Customer satisfaction
 Value for money
 Service
 Performance
 Motivation of the workforce

6. Improving IT Service Management: 3 basic options
IT Process
Implementation
(ITSM)
Performance-Based
Service Management
Lean IT
Focus Focus Focus
Improve process
maturity through focus
on best practices
Improve overall
performance of IT
organization through
focus on units of work
Improve value of IT
organization to
customers through
behavior and attitude

7. What is Lean IT and what does it do?
Lean
▪ Customer value as basis
▪ Value delivered through value streams
▪ Ensure flow in value streams
▪ Initiate pull
▪ Perfection through Continuous Improvement
IT
▪ Technical and organizational complexity
▪ Specific language
▪ Understand the IT gemba
▪ Know IT processes
▪ Understand IT performance
▪ Application of Lean
Manufacturing principles
Combined with extensive
knowledge of IT service delivery
▪ Aimed at a sustainable
development to an IT
organization that maximizes the
flow of value to customers
Lean + IT = Lean IT

8. Some differences…
1
2
3
4
…focus on processes
…prioritizes for resource efficiency
…uses process metrics
…polices the process
…focus on value streams
…aims for flow and flow efficiency
…uses customer-oriented metrics
…solves problems in the process
…describes WHAT …focuses on WHY and HOW

9. Focus on the right processes
• Understand the units of work
• Understand which ITSM
processes are actually value
streams and which are not
• Make sure you ‘score’ on the
customer value processes
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10. Resource Efficiency
Ensure ‘expensive’
technical people have
enough work
Inventory is OK because
people will never be idle
A person not working on
something is waste
No time for improvement
Stressful environment
Lean IT instills the right kind of efficiency
Flow Efficiency
 Ensure work ‘flows’ through
the organization as quickly
as possible
 Low inventory ensures agility
of the IT organization
 Someone doing unnecessary
work is waste
 Space for improvement
 Low stress environment
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11. ITSM
• % reduction in average time to respond to a call for assistance from first-line
operatives
• % increase in the Incidents resolved by first line operatives
• % increase in the Incidents resolved by first line operatives on first response
• % reduction of Incidents incorrectly assigned
• % reduction of Incidents incorrectly categorized
• reduced mean elapsed time for resolution or circumvention of Incidents, broken
down by impact code
• increased % of Incidents resolved within agreed (in SLAs) response times by impact
code.
• reduction in the service unavailability caused by Incidents
• increased % of Incidents resolved within target times by priority
• increased % of Incidents resolved within target times by category
• % reduction in the average time for second line support to respond
• reduction of the Incident backlog
• % increase in the Incidents fixed before Users notice
• % reduction in the Incidents reopened
• % reduction in the overall average time to resolve Incidents
• reduction in the # of Incidents requiring more than one second line support team.
• % reduction in average cost of handling incidents
• improve % of business incidents dealt with first line operatives
• % reduction # of times first line operatives bypassed
• % improvement in average # of incidents handled by each first line operatives
• no delays in the production of management reports
• improved scores on CSS responses.
Lean IT metrics are clearly customer-focused
Lean IT
• Lost Production Hours
• Time to Market of changes
• Effectiveness of changes
• Quality of plans
• Proactive changes
• Satisfaction (customer and employee)
… and that’s only Incident Management!
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12. ITSM
• Seen as ‘policeman’
• Focus on the process
• Ensure everyone follows the
process
• Work hard to implement the future
state process description
Process managers do the same job differently
Lean IT
• Facilitator
• Focus on results for the customer
• Communicate the customers’ need
for the process
• Work hard to solve problems to
achieve results for the customer
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13. Conclusion: Lean IT and ITSM are complementary
ITSM
• Best Practice Framework
• Definitions
• Focuses on processes and
functions
• Processes focus on IT work
Lean IT
• Improvement Method
• Principles
• Focuses on daily improvement and
value for customers
• Processes focus on flow and value
ITSM Lean IT

14. Does applying Lean to IT solve our problems?
1. Insufficient understanding that Lean IT
means learning … lots of it
2. Managers do not understand that they have
to take the lead and change first
3. Forget to empower people … in steps
4. Use the tools, but forget the behavior
5. Give up at the first sign of resistance or
difficulty
Pitfalls of Lean IT

15. The Good News …
You’ve invested in ITSM …
… investing in Lean IT will leverage that investment

16. Why? Every business is becoming a digital business
We believe every digital experience should be excellent and that excellence
is defined by capabilities, not technology
 We believe IT capabilities
in organizations are key to
creating excellent digital
experiences as technology
will continue to change, so
success is defined by the
ability to harvest that
innovation over the actual
innovation itself
 Build high performance IT
organizations that:
• Are responsive to
customer needs
• Embrace Agility
• Are Secure & Rugged
• Harvest innovation
• Drive Change
• Continuously improve
flow
 Focus on delivery
processes..
 .. and simplify them!
 Create Value Streams
 Focus on performance
 Engage staff
 Anchor capabilities in the
organization
Why do it? What to do? How to do it?

17. How do you start applying Lean IT to ITSM?
Visual Management
• Use ITSM to define your units of work
• Ensure that it is clear who is working on what
• Steer on completion of work
Kaizen / Problem-solving
• Identify problems in ITSM processes
• Use kaizen to tackle problems
• Solve small problems on a daily basis
Goal-setting, KPIs and Measurement
• Measure lead time and ability to meet deadlines
• Visualize measures
• Take action to improve performance

18. Focus on time
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Time is the primary
production factor
Why?
 Here and now
 Manageable

19. But first … Lean IT is all about Learning
Anyone involved in leading continuous
improvement within IT
Anyone in a (in)formal Lean
transformational / leadership role
Everyone working in IT

20. w w w . q u i n t g r o u p . com
D a r e t o c h a l l e n g e
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