ITIL: What is it? Why you should use it? How to use it? August 9, 2007 T.C. Kaiser Senior Customer Solution Architect CA, Inc. Tampa Bay Technology Leadership

ITIL:What is it? Why you should use it?How to use it?

August 9, 2007

T.C. KaiserSenior Customer Solution Architect

CA, Inc.

Tampa Bay Technology Leadership Association

2 August 9, 2007 ITIL: What, Why, How? Copyright © 2007 CA

Agenda

1. The Big Picture

2. The IT Infrastructure Library – Definition, History, etc.

3. IT Service Management

4. ITIL v2 – Service Support and Service Delivery

5. ITIL v3 – The Service Lifecycle

6. The Benefits of ITSM

7. Real World Examples

8. Implementing ITIL – Recommendations, What Not to Do

9. Q&A


Obstacles Prevent Effective Engagement

IT Seen as Black Box:Business lacks visibilityPoor customer satisfaction

Overwhelming Demand:Unstructured capture of requests and ideasNo formal process for prioritization and trade-offsReactive vs. proactive


Disparate Systems Reduce Efficiency

No Single System of Record for Decision Making

Relevant Metrics Hard to Obtain

Disparate Systems Costly to Maintain and Upgrade


IT Governance Landscape

What is the Information Technology Infrastructure Library (ITIL)?

History and Definitions


What is the IT Infrastructure Library?

> ITIL is the basis of the worldwide standard for quality IT Service Management, ISO 20000

> ITIL was developed by the public and private sectors and globally adopted.

> ITIL is in the public domain.

“The IT Infrastructure Library® (ITIL) is the most widely accepted approach to IT service management in the world. ITIL is a cohesive

best practice framework, drawn from the public and private sectors internationally. It describes the organisation of IT

resources to deliver business value, and documents processes, functions and roles in IT Service Management (ITSM).”

Source: UK Office of Government Commerce


The History of ITIL

1980’s

British government determined that the level of IT service quality they received was not sufficient. The Central Computer and Telecommunications Agency (CCTA) was assigned to develop a framework for efficient and financially responsible use of IT resources. This was a joint effort between the government and private sector experts.

2000

The CCTA merged into the Office for Government Commerce (OGC). Microsoft used ITIL as the basis to develop the Microsoft Operations Framework (MOF).

2001

Version 2 of ITIL is released. The Service Support and Service Delivery books were redeveloped.

2007

Version 3 of ITIL is released which adopts a lifecycle approach to Service Management with a better emphasis on IT-Business integration


IT Service Management

> IT Service Management is concerned with delivering and supporting IT services that are appropriate to the business requirements of an organization. This improves efficiency and effectiveness and reduces the risks of managing IT services.

> Services are a means of delivering value to customers by facilitating outcomes customers want to achieve without the ownership of specific costs and risks. Outcomes are possible from the performance of tasks and are limited by the presence of certain constraints


What is a Service?

Source: OGC – “ITIL Refresh: Vendor pre-release briefing”, May 2007


Anatomy of a Service (technical view)

Applications

FirewallNetwork

Switch

Load Balancer Porta

l

Identity Manage

r

Web Servers

Router

SAP

PSFT

Siebel

3rd Party Applications

Databases

Mainframe

Database

Web Services


ITIL Service Management (v2)

Service Management is the best known and most mature aspect of ITIL. It is comprised of two volumes: Service Support and Service Delivery.

Service Management

Service Support

• Service Desk• Incident Management• Problem Management• Configuration Management• Change Management• Release Management

Service Delivery

• Service Level Management• Financial Management• Availability Management• Continuity Management• Capacity Management


Core ITIL v3 Library

Source: Pink Elephant – “What’s New in ITIL v3”, George Spaulding 2007


ITIL v2 Service Support mapping to v3

ITIL V2 Process Primary ITIL V3 Book

Change Management Service Transition

Configuration Management Service Transition

Incident Management Service Operation

Problem Management Service Operation

Release Management Service Transition

Service Desk Service Operation

Service Asset and Configuration Management including the CMDB

Service Transition

CMBD is part of the Configuration Management system (CMS)

Fault Management (ICT Volume) Service Operation

Knowledge Management (NEW in the sense of service desk)

Service Transition


ITIL v2 Service Delivery mapping to v3

ITIL V2 Process Primary ITIL V3 Book

Financial Management Service Strategies

Availability Management Service Design

Capacity Management Service Design

IT Service Continuity Management Service Design

Referenced in Service Transition, Service Operation and Continual Service Improvement

Service Level Management Service Design

Service Catalogue Management

Service Design


ITIL Service Management (v3)



Service Lifecycle



Service Strategy

> Practical Decision making

> Business Eco systems

> From value chains to value nets

> Adaptive processes for customers, services and strategies

> Linking to external practices and standards

> Managing uncertainty and complexity

> Increasing the economic life of services

> Selecting, adapting and tuning the best IT service strategies

Provides the guidance on how to design,

develop, and implement service management as a strategic asset.



Service Design

> Pragmatic Service Blueprint

> Policies, Architecture, Portfolios, service models

> Effective technology, process and measurement design

> Outsource, shared services, co-source models? How to decide & how to do it

> The service package of utility, warranty, capability, metrics tree

> Triggers for re-design

Guides the design and development of services and service

management processes



Service Transition

> Managing Change, Risk and Quality Assurance

> Newly designed Change, Release & Configuration processes

> Risk and quality assurance of design

> Managing organization & cultural change during transition

> Service knowledge management system

> Integrating projects into transition

> Creating & selecting transition models

Provides guidance for the development and improvement of

capabilities necessary to transition new and/or changed services into

operations



Service Operation

> Responsive, stable services

> Robust end to end operations practices

> Redesigned, incident and problem processes

> New functions and processes

> Event, technology and request management

> Influencing strategy, design, transition and improvement

> SOA, virtualization, adaptive, agile service operation models

Tailors guidance on achieving effectiveness

and efficiency in the delivery and support of

services such that value is achieved for the

customer and captured by the service provider



Continual Service Improvement

> Measurements that mean something and improvements that work

> The business case for ROI

> Getting past just talking about it

> Overall health of ITSM

> Portfolio alignment in real-time with business needs

> Growth and maturity of SM practice

> How to measure, interpret and execute resultsSustains the creation

and maintenance ofcustomer value through

better design,introduction, and

operation of services



Shifting Focus


Why ITIL?

Why should you implement processes based on the ITIL Framework?


The Case for IT Service Management

> The Business is more and more dependent on IT.

> Complexity of IT constantly increases.

> Customers are demanding more for less.

> Global competitiveness growing at a rapid rate requiring a more flexible approach to integration.

> Stronger focus on controlling the costs of IT.

> Low customer satisfaction levels.


Benefits to the Organization> Improve Resource Utilization

> Be more competitive

> Decrease rework

> Eliminate redundant work

> Improve upon project deliverables and time

> Improve availability, reliability and security of mission critical IT services

> Justify the cost of service quality

> Provide services that meet business, customer, and user demands

> Integrate central processes

> Document and communicate roles and responsibilities in service provision

> Learn from previous experience

> Provide demonstrable performance indicators

Source: Pink Elephant – “The Benefits of ITIL® White Paper”, March 2006


Real World Benefits

> Procter & GambleStarted using ITIL in 1999 and has realized a 6% to 8% cut in operating costs. Another ITIL project has reduced help desk calls by 10%. In four years, the company reported overall savings of about $500 million.

> CaterpillarEmbarked on a series of ITIL projects in 2000. After applying ITIL principles, the rate of achieving the target response time for incident management on Web-related services jumped from 60% to more than 90%.

> Nationwide InsuranceImplementing key ITIL processes in 2001 led to a 40% reduction of its systems outages. The company estimates a $4.3 million ROI over the next three years.

> Capital OneAn ITIL program that began in 2001 resulted in a 30% reduction in systems crashes and software-distribution errors, and a 92% reduction in “business-critical” incidents by 2003.

Source: Pink Elephant – “The Benefits of ITIL® White Paper”, March 2006


Why Implement ITIL

> Streamline service delivery and support processes

> Develop repeatable procedures to aid first level support groups

> Reduce number of service incidents and outages

> Implement standards to do things right the first time

> Perform proactive analysis, prevention and resolution

> Plan for and ensure future capacity

> Define clear services and service targets

> Accurately allocate and recover costs

> Audit, manage and improve IT processes

Ultimately IT Service Management is about maximizing the ability of IT to provide services that are cost-effective and meet the expectations and needs of the business.

Reduce Cost of Operations

Improve Service Quality

Improve Compliance

Improve User Satisfaction

The How

ITIL Implementation Best Practices


ITIL is not a step-by-step process

“ITIL Processes can be difficult to implement since ITIL in it's current form describes the "what" but not the "how" of IT service delivery. In other words, a lack of implementation tools and best practices are increasing costs and timelines related to ITIL implementation.”


Each ITIL Initiative is Unique



What NOT to do

1. Insufficient Management Buy-in or Budget.

2. Ignoring the need to market and communicate within & outside IT.

3. Training internal staff to the Foundation level with the expectation they can then implement ITIL successfully.

4. No External Baseline Assessment or adoption of a maturity model to Create a valid roadmap.

5. Thinking that technology alone can address the requirement for ITIL i.e. migrating bad process to new technology so automation is therefore not efficient enough to address IT needs.

6. Confusing Process with Procedures.

7. Not dedicating enough resources to the development effort.

8. Thinking process development equates to process implementation.

9. Weak documentation effort leads to inconsistent approach with very little chance of repeatability amongst IT Staff.

10. Failure to address IT Governance alignment.


Recommendations

> Create a sense of urgency!

> Decide/Declare Service Management Strategy

> Engage all employees

> Create Communications and Awareness campaigns

> Focus on areas of pain

> Create a Program to transform the organization

> Appoint program sponsors and key players

> Assess, Design, Build and Implement process refinement

> Create an ITSM adoption program with a charter


Recommendations

> Develop a phased approach, which includes repeatable and consistent standards for all processes to follow

> Breakdown work into “manageable chunks”

> Appoint process owners

> Begin remediation process

> Utilize/Establish program management


Iterative Process

What is the vision?

Where are we now?

Where do we wantto be?

How do we getthere?

How do we checkwe got there?

High LevelObjectives

Assessments

MeasurableTargets

ProcessImprovements

MeasurementAnd Metrics

How do we keep themomentum going?


Helpful Links

> www.itsmf.net – IT Service Management Forum. Tampa Bay Local Interest Group (LIG) meeting – Sept. 22, 2pm.

> www.itsmfusion.com – itSMF USA Conference, Sept. 16-19, Charlotte, NC.

> www.ogc.gov.uk – UK Office of Government and Commerce.

> www.pinkelephant.com – ITSM consulting, events, education.

> www.exin.org – Independent education institute.

> www.itpreneurs.com – Training solutions for IT Management and IT Governance.

http://www.itsmf.net/

http://www.itsmfusion.com/

http://www.ogc.gov.uk/

http://www.pinkelephant.com/

http://www.exin.org/

http://www.itpreneurs.com/


Questions?

For More Information:

T.C. KaiserSr. Customer Solution ArchitectCA, [email protected] mobile

mailto:[email protected]

Documents

ITIL: What is it? Why you should use it? How to use it? August 9, 2007 T.C. Kaiser Senior Customer Solution Architect CA, Inc. Tampa Bay Technology Leadership