Determining “Best Fit”
for ITIL Implementations
Michael Harris President David Consulting Group
Agenda
• Why ITIL?
• The Evolution of IT Metrics Towards the Business
• What do businesses need from IT
• Introduction to ITIL®
• Determining Best Fit ITIL Implementations
• Lessons Learned
• To find out more …
ITIL® is a Registered Trade Mark and a Registered Community Trade Mark of the Office of Government Commerce, and is Registered in the US Patent and Trademark Office
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Why ITIL?
• The IT organization of the future will need to be different:
– Business focus
– Increasingly based on contractual rather than organizational supply chain for service delivery – Expectation of highly transparent, easily audited,
repeatable processes
– Growing dependency of process standardization
The Evolution of IT Metrics towards the Business
• Watch the game (business) from afar
• Metrics: CPU utilization, server availability, disk space
• Watch the game (business) as shared experience
• Metrics: Frequency of changes,
service availability, incident closure %
• Play the game (business)
• Metrics: State of business service, end user experience, business
transaction volume/backlog/duration
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What do Businesses need from IT Services?
• Utility
Derived from the attributes of a service that have a
positive effect on the
performance of activities, objects and tasks associated with desired outcomes.
Removal or relaxation of constraints on performance is also a positive effect.
• Warranty
Derived from the positive effect of the service being available when needed and in sufficient capacity or
magnitude. It also refers to the dependability of the
service in terms of
continuity and security.
VALUE = (UTILITY) AND (WARRANTY)
Introduction to ITIL
• What is Information Technology Infrastructure Library (ITIL)?
– Set of best practices focused on the management of IT service processes
– Promotes quality and efficiency in the use of IT
– Content is owned by the UK Office of Government Commerce (OGC)
– The goals of ITIL Service Management are:
• Align IT services with business needs
• Improve the quality of IT services
• Reduce the longterm cost of IT services
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ITIL V2
Source: itSMF
• 9 core books
• 10 processes
• Strong process orientation
• Planned
withdrawal
12/31/07 now
12/31/08 (maybe)
ITIL V3
• 5 books (more to come)
• 24 processes
• Focus on service life cycle
• Business and IT are integrated
• Support changes in evolving IT industry
Service
Strategy
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ITIL V2 to V3 Mapping
Service Strategy
Service Delivery
• Financial Management
+
• Service Strategy• Service Portfolio Management
• Demand Management
Service Design
Service Transition
Service Operation
Service Delivery
• IT Service Continuity Management
• Capacity Management
• Availability Management
• Service Level Management
+
• Service Catalog Management• Supplier Management
• Information Security Management
Continual Service Improvement
• Seven Step Improvement
Service Support
• Change Management
• Service Asset &
Configuration Management
• Release & Deployment Management
+
• Knowledge Management
• Transition Planning & Support
• Service Validation
• Evaluation
Service Support
• Incident Management
• Problem Management
+
• Event Management• Access Management
• Request Fulfillment
Service Providers, Suppliers & Agreements
A Service Provider
IT Functions NonIT Functions
AD/M IT Op er atio n s Ser v ice Des k T ech Mg m t HR Fin a n ce Ma rk etin g Oth er OLAs
SLAs
Contracts (may include SLAs)
OLAs OLAs
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Service Knowledge Management System (SKMS)
Service Knowledge Management System
Configuration Management System
Definitive
Media Library CMDB
Service Level
MIS Incident DB … and others
Availability MIS
Capacity MIS
Determining Best Fit ITIL Implementations
Service Strategy & Continual Service Improvement?
Service Strategy
Define the market
Develop Strategic
Assets
Prepare for Execution
Develop the
Offerings What is the
Vision?
Where are we now?
Where do we want to be?
How do we get there?
Did we get there?
How do we keep the momentum
going?
Business Vision, Mission, Goals and Objectives
Baseline Assessments
Measurable Targets
Service &
process Improvement Measurement &
Metrics
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Determining Best Fit ITIL Implementations Most Business Value in your organization?
Service Design
• Delivers quality, cost effective services and ensure that business requirements are met
• Reduces TCO
• Improves quality of service
• Improves consistency of service
• Improved service alignment
• Improved IT governance
• Improved information and decision making
Service Transition
• Enables Service provider to cope with higher
volumes of change without impacting service quality
• Responsiveness
• Support for M&A
• Increased success rate for Changes & Releases
• Confidence in compliance with regulations
• Increased accuracy of scope and content for maintenance contracts
• Increased understanding of risk during and after
change.
Service Operation
• The operation of the service is where the plans, designs and optimizations are executed and measured.
• From a customer viewpoint, this is where actual value is seen.
Monitoring Best Fit ITIL Implementations Example Metrics
Service Design
• Number and % of service targets being met
• Number and severity of security breaches
• Number of services with uptodate SLA’s
• Number of services with timely reports and current service reviews
• Positive responses on customer sat. surveys
• … and so on.
Service Transition
• Reduction in number of disruptions to services, defects and rework caused by inaccurate specification or
incomplete impact analysis
• Reduction in number of unauthorized changes
• Reduction in backlog of change requests
• Reduction in the % of unplanned
changes/emergency fixes
• Reduction in Incidents attributable to Changes
• … and so on
Service Operation
• Total number of incidents (broken down by stage)
• Mean elapsed time to
achieve Incident resolution or work around (broken down by impact code)
• % of incidents handled within agreed response times
• Incident response time
• Average cost per Incident
• First line resolution rate
• Customer satisfaction
• Number of calls to service desk
• … and so on
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The Business Case
• Required for all or most changes
• A decision support and planning tool
• Projects likely consequences of a business action
• Must be maintained until pay back is achieved or business action is cancelled
• Structure
– Introduction
– Methods and Assumptions – Business Impacts
– Risks and contingencies
– Monitoring and review schedule
• Captures “Business Value of IT”
Determining Best Fit ITIL Implementations Summary
• Think About….
– What process areas provides the most business benefit to your organization?
– What are the priorities based on the service strategy and/or continual improvement analysis and associated business cases?
– What basic processes need to be in place to move up the maturity path?
– How do we ensure shared priorities for ITIL among IT
groups?
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Lessons Learned
• Provide effective organizational communication and organizational change management
• Provide ITIL and process training for IT management and staff
• Set realistic goals and expectations on improving process maturity levels
• Establish practical implementation guidelines
• Involve stakeholders early in the process (during the development of new processes)
• Don’t forget about tools and automating the process when possible
– For example, the Service Management Knowledge System (SKMS) is
key to institutionalizing Change and Configuration Management
To find out more …
• www.itsmfusa.org
• www.ogc.gov.uk/guidance_itil.asp
• www.tsoshop.co.uk/bookstore.asp?FO=1162745
• www.apmgroup.co.uk/QualificationsAssessments/ITServiceManagement.asp
• www.pinkelephant.com
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Question & Answer
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DCG Offerings
• DCG offers the following services to support each phase of ITIL from Initiate through
Implementation:
– Planning and Scoping
• Understand Business and IT Objectives
• Facilitate definition of ITIL initiative objectives and scope
– ITIL training
– Operational Gap Assessments to understand current process maturity and define the desired future process – Implementation Plans based on organization goals and
resources
– Implementation Support including tool selection – Measurement definition and collection to support
continuous process improvement
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