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IT5OO master class
- 1. IT500 Master Class IT4IT Tony Price CraigAlexander HPE Software Services
- 2. Your speakers 2 Tony Price DirectorWW IT4IT strategic consulting HPE SW Services Craig Alexander EMEA Lead IT4IT strategic consulting HPE SW Services
- 3. Context and theneed for transformation? 3
- 4. Consumer demands arerapidly changing; on-demand One common ask - better, faster, cheaper and safer 4 Gen Z 2000-present Children The first generation never to have experienced the pre-internet world Millennials/Gen Y 1980-2000 Early teens to early 30s Demanding, internet savvy, instant gratification. The iPad generation Gen X 1965-79 Early 30s to mid-40s The ‘focused, keep your heads down generation” Baby Boomers Pre 1965 Late-40s+ Regarded in the West as the “have it all” postwar generation
- 5. Business models arechanging, and IT services must shift 5 You get what you are given You get what you want, plus what you didn’t know you needed …and of course, must always be better, faster, cheaper and safer
- 6. Day to dayIT operations are evolving Support multi-model service delivery Digital IT Plan Source OfferManage New Style Traditional IT Plan Build Run Industrialized IT Plan Build DeliverRun New Tech Reality: working smarter across the continuum and in all modes
- 7. IT can nolonger manage all services the same way Core IT Fluid IT Greater agility Business outcome-centric New workloads, apps, and experiences Shorter cycle times IT outcome-centric Conventional workloads & apps Longer cycle times Lower cost
- 8. Typical look atthe business of IT still has silos Analyze and understand how to support the business by initiative Velocity / requirements Process Tool Core IT Cloud Process Tool DevOps Process Tool Security Process Tool Multiple Suppliers / SIAM Process Tool Mobility Process Tool Context/usecase
- 9. How can ITrespond? 9
- 10. Transforming IT impactsevery aspect of your organization Change the lens in which you view your business IT Value Chain Lens
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- 12. The Open GroupIT4IT™ standard to Run the Business of IT Technical Standard2011 2012 2013 2014 2015 IT4IT 2.0 Std. 10/2015 RA 2.0 (level 3) 7/2015 RA 1.2 (level 3) 3/2014 RA 0.5 (level 1) 8/2012 Value Chain 9/2011 RA 1.3 (level 3) 10/2014 RA 1.0 (level 2) 1/2013 • ~5000 downloads • ~800 organizations • ~74 countries • Pocket Guide “Hot Seller” • ~600 downloads Original Consortium IT4IT™ is a trademark of The Open Group • Shell • Hewlett-Packard (IT & SW) • Achmea • MunichRe • Accenture • Pricewaterhouse Coopers • University of South Florida • AT&T IT Operating Model Describes the structure of IT management IT Reference Architecture Prescribes the functional & information architecture Consumer-centric service model
- 13. itSMF UK IT deliversvalue through a series of activities Which means there is an IT Value Chain supported by Value Streams Efficiency & AgilityFinance & Assets Intelligence & Reporting Resource & Project Governance, Risk & Compliance Sourcing & Vendor ITValueChain Plan Build Deliver Run Reference Architecture Value Streams – Martin Lean / 6-sigma concepts Multi-Process Oriented Customer focused results Value Chains – Porter Competitive Analysis Strategic Concepts Value Creation Activity cost to profit margin analysis
- 14. as in astream of activities delivering value IT Value Chain Strategy to Portfolio Drive IT portfolio to business innovation Requirement to Deploy Build what the business wants, when it wants it Request to Fulfill Catalog, fulfill & manage service usage Detect to Correct Anticipate & resolve production issues The IT Value Chain has 4 IT Value Streams Efficiency & AgilityFinance & Assets Intelligence & Reporting Resource & Project Governance, Risk & Compliance Sourcing & Vendor ITValueChain Plan Build Deliver Run Reference Architecture
- 15. itSMF UK General approachto the IT4IT™ Reference Architecture User is the north star, therefore start with IT use cases Functional Model • High level definition of all functional areas for IT • Based on customer use case analysis Lifecycle Model • Based on ITIL and service lifecycle and high level grouping of: Continuous Assessment, Continuous Integration, and Continuous Delivery – and later into Value Streams Information Model • Identification of key controlling IT artifacts • Definition of artifact lifecycles according to lifecycle model Foundation Integration • Defines key control points for integration, based on artifact • Link Information model with lifecycle model Foundational Integration Layer (key control points) Common Data/Information Model Common Lifecycle Model Functional Model
- 16. IT4IT™ reference ArchitectureV2.0 16 Service Portfolio Component Portfolio Demand Component Proposal Component Policy Component Defect Component Requirement Component Project Component Test Component Build Component Source Control Component Change Control Comp. Problem Component Incident Component Event Component Diagnostics & Remediation Component Usage Component Chargeback / Showback Comp. Strategy to Portfolio Requirement to Deploy Request to Fulfill Detect to Correct Offer Mgmt. Component Offer Consumption Component Service Archite- cture Policy Require- ment Scope Agree- ment IT Initiative Portfolio Backlog Item Source Conceptual Service Blueprint Concep- tual Service Logical Service Blueprint Test Case Defect Offer Service Release Build Service Catalog Entry Desired Service Model Usage Record Fulfill- ment Request Sub- scription Charge- back Contract Request Problem/ Known Error Incident Event Service Monitor Run Book RFC Service Monitoring Comp. Catalog Composition Component Shopping Cart Enterprise Architecture Component Service Design Component Fulfillment Execution Comp. Request Rationalization Component Configuration Management Component Release Composition Component Service Level Component Service Contract Actual Service CIs Service Release Blueprint Build Package Build Package Component
- 17. The Information Model –The information model comprises of service lifecycle data objects and their relationships – Each value stream produces and/ or consumes data that together represents all of the information required to control the activities that advance a service through its lifecycle – These are referred to as “Service Lifecycle Data Objects” 17 Data object type Description Symbol Key Data Objects Key data objects describe aspects of “how” services are created, delivered & consumed; they are essential to managing the service lifecycle. Managing the end to end service lifecycle & associated measurement, reporting, & traceability would be virtually impossible without them. The IT4IT Reference Architecture defines 32 key data objects and most are depicted as black circles Service models are stand alone subclass of key data objects that describe “what” IT delivers to its consumers. They represent the attributes of a service at three levels of abstraction: Conceptual, Logical and Realised. These data objects referred to as the Service Model Back Bone data objects (or service backbone data objects in short) & depicted using purple coloured circle in the IT4IT Reference Architecture diagrams Key Data Objects Auxiliary data objects provide context for the “why, when, where etc ” attributes and, while they are important to the IT Function, they do not play a vital role in managing the service lifecycle. The IT4IT Reference Architecture currently describes eight auxiliary data objects and they are depicted using a grey coloured circle
- 18. The Service Model –Without a clear understanding of both the business and the technology attributes of a service, there is no way to be certain that the desired outcome can be consistently attained and that most optimal sourcing strategy will be applied. – The Service Model construct in the architecture captures, connects and maintains these service lifecycle attributes as the service progresses through its lifecycle – The structure that binds the different abstraction levels of the Service Model together is called the “Service Model Backbone” – The Service Backbone can also be broken down into Service Components 18 Service Portfolio Component Change Control Comp. Strategy to Requirement to Deploy Request to Fulfill Detect to Correct Conceptual Service Blueprint Concep- tual Service Logical Service Blueprint Service Release Desired Service Model Fulfill- ment Request RFC Service Design Component Fulfillment Execution Comp. Configuration Management Component Release Composition Component Actual Service CIs Service Release Blueprint
- 19. The Functional Model –Based on real IT scenarios and use cases, the IT4IT Reference Architecture identifies and defines one of the essential building blocks – functional components- which create or consume data objects and can be aligned with the appropriate value streams. – The functional Model is the set off functional components and their relationships 19 Functional Component type Primary functional component Description Symbol A primary functional component is depicted using a blue coloured rectangle and is core to a specific value stream. This means that the functional component plays a key role in the activities of a particular value stream/ Without this functional component, the integrity of the data objects and thus the Service Model could not be maintained consistently & efficiently. Most IT4IT documentation will use language such as “functional component is owned by or is core to a particular value stream” to represent a primary functional component
- 20. The Integration Model –Integration between components in the traditional IT management ecosystem is based on capability and processes. – The interfaces needed to accommodate the requirements associated with this approach are largely point to point between products to enable automation of interdependent workflows. – Over time, this results in a complex web of connections that is virtually impossible to manage, making changes to any of the components a daunting task – The IT4IT reference architecture defines an integration model composed from the following three types of integrations for simplifying the creation of an IT Management ecosystem using functional components – Systems of record integrations – Systems of engagement integrations – Systems of insight integrations 20
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- 22. So lets lookat some practical examples Exercise – Your challenge – build a car for FY17 (new model) using standard components – 2 groups – no conferring – 10 minutes to do so (questions will only be answered in the first minute) – You will present your finalised car to the course facilitator who will give feedback to the entire audience 22
- 23. Exercise Review – Whatwere your observations? – Both groups had exactly the same components. So the cars look identical? – Would it have been easier if the second group had the instructions? – Architecture diagram similarity – Did you really understand the business requirements (given you work for the business we expected you would) 23
- 24. Next stage ofthe exercise – To stay competitive in the Race industry whilst controlling costs we: – Can no longer make all the car components and we have to buy them in from various sources and assemble them as a race car – We need to be constantly in control of all the suppliers to make sure they deliver on time, to quality and collaborate when needed when interoperability of components is required across suppliers – We can not accept supplier non performance as this business is so time critical hence we need to be able to switch suppliers with minimal notice and disruption – We recognise that our business is racing and not IT. So we will employ an IT company to do real time analytics on all our race data to ensure we continually improve and win races. This will be sourced via an IT Cloud based solution – The race industry is highly competitive and we need to keep all our latest development secure and not available to the competition – If our success continues we want to compete in multiple types of racing (Formula 1 , Formula E, Rally Cross, Oval (NASCAR) etc – We believe our strength is our team – We believe we can be successful in any of the above – We do not have the technology for all the above vehicles and hence will have to buy in pre built vehicles – Would your solutions meet be capable of meeting the above requirements? 24
- 25. So what havewe just seen and how does it relate to IT ? 25
- 26. So what havewe just seen and how does it relate to IT ? 26 Control of all the suppliers SIAM Building from Common Components Service Integrator Our business is Racing Cloud The race industry is competitive Security Buying in pre build vehicles Brokerage
- 27. Typical look atthe business of IT still has silos Analyze and understand how to support the business by initiative Velocity / requirements Process Tool Core IT Cloud Process Tool DevOps Process Tool Security Process Tool Multiple Suppliers / SIAM Process Tool Mobility Process Tool Context/usecase
- 28. Looking at IT4ITthrough the Value Chain lens One IT4IT or many ? P r o c e s s T o ol Core IT Cloud P r o c e s s T o ol DevOps P r o c e s s T o ol SIAM P r o c e s s T o ol Security P r o c e s s T o ol Mobility P r o c e s s T o ol Service Portfolio Component Portfolio Demand Component Proposal Component Policy Component Defect Component Requirement Component Project Component Test Component Build Component Source Control Component Change Control Comp. Problem Component Incident Component Event Component Diagnostics & Remediation Component Usage Component Chargeback / Showback Comp. Strategy to Portfolio Requirement to Deploy Request to Fulfill Detect to Correct Offer Mgmt. Component Offer Consumption Component Service Archite- cture Policy Require- ment Scope Agree- ment IT Initiative Portfolio Backlog Item Source Conceptual Service Blueprint Concep- tual Service Logical Service Blueprint Test Case Defect Offer Service Release Build Service Catalog Entry Desired Service Model Usage Record Fulfill- ment Request Sub- scription Charge- back Contract Request Problem/ Known Error Incident Event Service Monitor Run Book RFC Service Monitoring Comp. Catalog Composition Component Shopping Cart Enterprise Architecture Component Service Design Component Fulfillment Execution Comp. Request Rationalization Component Configuration Management Component Release Composition Component Service Level Component Service Contract Actual Service CIs Service Release Blueprint Build Package Build Package Component
- 29. One Lens, OneArchitecture, Many Perspective Applying IT4IT P r o c e s s T o ol Core IT Cloud P r o c e s s T o ol DevOps P r o c e s s T o ol SIAM P r o c e s s T o ol Security P r o c e s s T o ol Mobility P r o c e s s T o ol Service Portfolio Component Portfolio Demand Component Proposal Component Policy Component Defect Component Requirement Component Project Component Test Component Build Component Source Control Component Change Control Comp. Problem Component Incident Component Event Component Diagnostics & Remediation Component Usage Component Chargeback / Showback Comp. Strategy to Portfolio Requirement to Deploy Request to Fulfill Detect to Correct Offer Mgmt. Component Offer Consumption Component Service Archite- cture Policy Require- ment Scope Agree- ment IT Initiative Portfolio Backlog Item Source Conceptual Service Blueprint Concep- tual Service Logical Service Blueprint Test Case Defect Offer Service Release Build Service Catalog Entry Desired Service Model Usage Record Fulfill- ment Request Sub- scription Charge- back Contract Request Problem/ Known Error Incident Event Service Monitor Run Book RFC Service Monitoring Comp. Catalog Composition Component Shopping Cart Enterprise Architecture Component Service Design Component Fulfillment Execution Comp. Request Rationalization Component Configuration Management Component Release Composition Component Service Level Component Service Contract Actual Service CIs Service Release Blueprint Build Package Build Package Component Service Portfolio Component Portfolio Demand Component Proposal Component Policy Component Defect Component Requirement Component Project Component Test Component Build Component Source Control Component Change Control Comp. Problem Component Incident Component Event Component Diagnostics & Remediation Component Usage Component Chargeback / Showback Comp. Strategy to Portfolio Requirement to Deploy Request to Fulfill Detect to Correct Offer Mgmt. Component Offer Consumption Component Service Archite- cture Policy Require- ment Scope Agree- ment IT Initiative Portfolio Backlog Item Source Conceptual Service Blueprint Concep- tual Service Logical Service Blueprint Test Case Defect Offer Service Release Build Service Catalog Entry Desired Service Model Usage Record Fulfill- ment Request Sub- scription Charge- back Contract Request Problem/ Known Error Incident Event Service Monitor Run Book RFC Service Monitoring Comp. Catalog Composition Component Shopping Cart Enterprise Architecture Component Service Design Component Fulfillment Execution Comp. Request Rationalization Component Configuration Management Component Release Composition Component Service Level Component Service Contract Actual Service CIs Service Release Blueprint Build Package Build Package Component Service Portfolio Component Portfolio Demand Component Proposal Component Policy Component Defect Component Requirement Component Project Component Test Component Build Component Source Control Component Change Control Comp. Problem Component Incident Component Event Component Diagnostics & Remediation Component Usage Component Chargeback / Showback Comp. Strategy to Portfolio Requirement to Deploy Request to Fulfill Detect to Correct Offer Mgmt. Component Offer Consumption Component Service Archite- cture Policy Require- ment Scope Agree- ment IT Initiative Portfolio Backlog Item Source Conceptual Service Blueprint Concep- tual Service Logical Service Blueprint Test Case Defect Offer Service Release Build Service Catalog Entry Desired Service Model Usage Record Fulfill- ment Request Sub- scription Charge- back Contract Request Problem/ Known Error Incident Event Service Monitor Run Book RFC Service Monitoring Comp. Catalog Composition Component Shopping Cart Enterprise Architecture Component Service Design Component Fulfillment Execution Comp. Request Rationalization Component Configuration Management Component Release Composition Component Service Level Component Service Contract Actual Service CIs Service Release Blueprint Build Package Build Package Component Service Portfolio Component Portfolio Demand Component Proposal Component Policy Component Defect Component Requirement Component Project Component Test Component Build Component Source Control Component Change Control Comp. Problem Component Incident Component Event Component Diagnostics & Remediation Component Usage Component Chargeback / Showback Comp. Strategy to Portfolio Requirement to Deploy Request to Fulfill Detect to Correct Offer Mgmt. Component Offer Consumption Component Service Archite- cture Policy Require- ment Scope Agree- ment IT Initiative Portfolio Backlog Item Source Conceptual Service Blueprint Concep- tual Service Logical Service Blueprint Test Case Defect Offer Service Release Build Service Catalog Entry Desired Service Model Usage Record Fulfill- ment Request Sub- scription Charge- back Contract Request Problem/ Known Error Incident Event Service Monitor Run Book RFC Service Monitoring Comp. Catalog Composition Component Shopping Cart Enterprise Architecture Component Service Design Component Fulfillment Execution Comp. Request Rationalization Component Configuration Management Component Release Composition Component Service Level Component Service Contract Actual Service CIs Service Release Blueprint Build Package Build Package Component
- 30. Addressing the silos Applythe Reference Architecture consistently to all areas Velocity / requirements Process Tool Core IT Cloud Process Tool DevOps Process Tool Multiple Suppliers / SIAM Process Tool Security Process Tool Mobility Process Tool Context/usecase Service Portfolio Component Portfolio Demand Component Proposal Component Policy Component Defect Component Requirement Component Project Component Test Component Build Component Source Control Component Change Control Comp. Problem Component Incident Component Event Component Diagnostics & Remediation Component Usage Component Chargeback / Showback Comp. Strategy to Portfolio Requirement to Deploy Request to Fulfill Detect to Correct Offer Mgmt. Component Offer Consumption Component Service Archite- cture Policy Require- ment Scope Agree- ment IT Initiative Portfolio Backlog Item Source Conceptual Service Blueprint Concep- tual Service Logical Service Blueprint Test Case Defect Offer Service Release Build Service Catalog Entry Desired Service Model Usage Record Fulfill- ment Request Sub- scription Charge- back Contract Request Problem/ Known Error Incident Event Service Monitor Run Book RFC Service Monitoring Comp. Catalog Composition Component Shopping Cart Enterprise Architecture Component Service Design Component Fulfillment Execution Comp. Request Rationalization Component Configuration Management Component Release Composition Component Service Level Component Service Contract Actual Service CIs Service Release Blueprint Build Package Build Package Component
- 31. HPE IT valuechain lens changes how you execute 31 Source Offer ManagePlan Strategy to Portfolio Requirement to Deploy Request to Fulfill Detect to Correct I want to decide between build, buy or broker to deliver services I want to aggregate services from suppliers into my catalog I want to provide a service marketplace and track usage I want to manage suppliers to deliver rapid & effective resolution Service integrator I want to maximize efficiency across my service portfolio I want to prepare patches for updates to my running services I want automatic request fulfilment and offer pay- on-use pricing I want to predict events and automatically remediate incidents Service supplier I want to build a new service or enhance an existing one I want to incrementally build and release new features I want to publish my enhanced services in a service marketplace I want to quickly identify and fix problems and defects Service broker
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- 33. Taking away pain…justhappens to be IT4IT – Global Finance True Business Pain identified Use Cases associated with pain Potential value identified Agile approach Regular value delivered IT reputation improved Business Pain removed IT4IT was almost incidental The focus was on removing pain Regular delivery of value keeps stakeholders engaged Business Operation Disruption
- 34. IT4IT as theend goal (Global FMCG example) Fantastic Architecture Superb road maps Happy Architects IT not delivering the value Unhappy business IT4IT viewed as the end goal rather than supporting the end goal IT4IT evangelist Without adoption value will not be realised No mention of Value
- 35. Focusing on ValueStream optimisation – Global Hi Tech Electronics Tools deep dive Identified broken value streams Increment Improve Optimise Value Streams 18 Month Road Map Reduced waste IT4IT value stream optimisation key Over Optimisation leads to systemic waste Identifying the missing basics Optimized Tools
- 36. Factor of 11,000reduction of security events Arcsight ESM with D2C Talk this language – Business and IT Execs listen ! 50% faster release of applications Continuous Release & Deployment with R2D 30% business continuity improvement Closed Loop Incident Management with D2C $1,000,000+ saving on business efficiency Self Service Automated Request Fulfilment with R2F Detect root cause: 36h*5FTE ½h*1FTE Operations Analytics with D2C 45% Support Cost reduction Retirement of legacy applications aligned to new strategic delivery with S2P Increase speed of fulfilment by 20% resulting in 5% increase in CSAT Automation of fulfilment Process with R2F itSMF UK
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- 38. Recommendations (continued) Value Streamoptimisation Remember over optimisation leads to systemic waste Formal IT4IT education is valuable We do not need to train the world in IT4IT At last we have a reference architecture for running the business of IT But keep it in context …. Its not the law…. Its not religion Start to have conversations with your vendors about IT4IT Remember the standard was only released in October 2015 Start thinking value and avoid pure IT Technical “speak” The business will always listen when you talk value Think Big Start Small
- 39. Useful links 39 The OpenGroup IT4IT™ forum http://www.opengroup.org/IT4IT The Open Group IT4IT™ Collaboration Site http://www.it4it.com IT4IT™ The New Reference Architecture for Managing the Business of IT – Webinar (recorded) https://www2.opengroup.org/ogsys/catalog/D139 The IT4IT™ pocket Guide http://www.vanharen.net/9789401800303/The_IT4IT% E2%84%A2_Reference_Architecture,_Version_2.0_% E2%80%93__A_Pocket_Guide_(english_version)?es_ p=855690 The Open Group IT4IT Consulting Services http://www8.hp.com/uk/en/software-solutions/it4it- value-chain/services.html IT4IT eBook http://h20195.www2.hp.com/V2/GetDocument.aspx?d ocname=4AA5-8970ENW Live Network (for Hewlett Packard Enterprise Software License holders) – full product mapping to IT4IT https://hpln.hpe.com/ Hewlett Packard Enterprise
- 40. Thank you andQuestions 40