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Business SErvice Management Notes

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Forrester – BSM Best practices

April 23, 2007Peter o Neill

Evelyn Hubert

Typical metrics BSM

Typical metrics Reporting lineBusiness service management

Time to process completionProcessing backlog volumeState of business serviceBusiness transaction volume

CIO/service owners reporting to LOB executives

IT service management Service availabilityIncident closure rateFrequency of changes

CIO reporting to CFO

Infrastructure management

Server availabilityCPU utilizationDisk space

IT operations reporting to CIO

4 steps in BSM

• Map Business processes• Map IT Infrastructure resources

– Inter relationships; dependencies

• Dynamically interlink IT Infrastructure and Business process

• End to end Monitoring of IT infrastructure.

Forrester S Curve

Some key advice on the way

• Just enough BSM • ITIL based standard practices • Service oriented approach• Involve business analysts • Low hanging quick wins• Be pragmatic – just enough top down • CMDB should be the center of all IT SM • Define BSM and CMDB from process perspective

BSM Challenges within IT

BSM vendor landscape

• Strategic integrated vendors – IBM HP CA BMC Managed objects

• Service Management approach – Service catalogs with business metrics – Digital fuel, Oblicore Proxima

• Performance management approach– Transaction / performance management tools with business metrics– Proactivenet, OpTier

Forrester wave

Defining BSM

CA.Sarah Meyer

Benefits from BSM

• BSM Empowers IT to – Offer reliable, flexible, business-sensitive levels of service– Measure service quality in terms of business user experience– Improve operational efficiency and agility end-to-end– Reduce and control costs through automation and integration– Become a strategic partner, value generator and source of innovation

Key phrases

• Managing the IT service supply chain aligned to business

Key elements

• Optimize: Map, Measure, Automate, Visualize• CREATE SERVICE MODELS• OPTIMIZE SERVICES BY OPTIMIZING THE INFRASTUCTURE• MAP THE COMPLETE IT SERVICE SUPPLY CHAIN TO BUSINESS

PROCESSES• MEASURE PERFORMANCE BASED ON BUSINESS GOALS AND

USER SUCCESS• STANDARDIZE AND AUTOMATE PROCESSES• INTEGRATE BUSINESS GOALS

BSM TIBCO Whitepaper

The need.

• Prioritize IT support management• Moving from component based to service based

– Service catalog defs and business metrics

• From home grown to standards for reporting

Outcome initiatives from BSM

• Service Performance Management– Proactive ; trending ; rapid response to incidents

• Capacity Planning– Put money where business growth is maximized and need exists

• Chargeback / Usage Analysis.– LOB expenditure – Alignment to business growth activities & needs.

Whats effective BSM?

• Access to all critical service metrics– Internal | Adaptors | Stds compliant

• Define business service model – Process breakdown, linkages to infrastructure, metrics rules

• RT Analytics of infrastructure against business model– Collect, transform, represent

• Archive service metrics for analysis– Trends, base lining and audit trails

• Alert response mechanisms – Emails, scripts, executions, triggers

• Configurable dashboards & reports – RIA Report builder

BMC - Discovery

Mapping Infrastructure resources, relationships and dependencies

• Integrated CMDB needs auto discovery – Asset changes ; Logical and physical assets – Inter relationships betweens assets – Dependencies between assets, people and business processes

Doug Mcclure

Dougmcclure.netwe

• Maintain the state of IT– So what goes into a CI? CIs generally consist of configuration attributes such as

description, version number, component, relationships, location, and status– ~50% of unplanned service outages happen because of system configuration mistakes or

oversights

Definitive Guide to BSM

Greg ShieldsCompuware

Realtime publishers

Challenges to IT

• Monitoring and response infrastructure focused– Critical links of infrastructure to business missing– Other factors like time zones etc.. Not factored in – What is an SLA?

• Factors that influence – Loss / performance / response time

• Applying $ value to reduction in quality – Monitoring + Money

Chasm between IT and business

• Monitoring IT has been on for years • The gap is in defining what’s important to business• The Views differ

– IT >> UP or NOT– Business > Customer Sat + Service Availability Capability in service

What are Business Services?• Services involved in the completion of daily business

activities– Whether users are customers / internal / IT or systems/– Can there be monetary measurement?

• Build a service model– Service breakdown – Service interrelationships

• Customer sees service as – Acceptable– Un Acceptable– Un Available

Breaking down BSM

• Misalignment will be there as language differs • Business Impact Management

– Combine Network monitoring + App data to give end impact information

• Real time Service Visualization • Fault trees

Aligning IT to Business

• How to merge metrics driven business with Technology driven IT?

• Bottom tech heavy nature of IT organizations results in technology focus instead of business focus

• Alignment inhibitors– No Common Dialog

• Tune in to the business cut out complexity– Children / aged / Bosses– Ensure metrics / Finance

• Business to understand IT– Mismatched expectations– Technology focused metrics – Siloed work envrionments– Reactive mindset in IT

• Set aside some investment on long term strategic thinking

IT Maturity Journey

• Rightward movement thru– Planning– Automation– Service thinking

Key Word Chars BSM How to BSM

Chaotic Adhocracy No process, Wont Fly Notifcation ; Environment documentation; Instability awareness

Reactive Firefighting Best Efforts, inventory, monitoring, tech mindset

Uphill task Data integration; Remove IT Silos; ops dashboards;

Proactive Optimal infra Predictve analysis, automation, problem mgt

Best BSM

Service Beyond infra SLA, capacity, Cost, BSM Ready

Value Business Value Beyond BSM

Changing IT– Impact to Business– Competitive Advantage– Agility– Proactive IT

• Why invest in BSM?– Agile IT for IS– Business Service performance for

Business

• Where does BSM work?– Revenue generating or revenue/cost

impacting – Critical to the business – Supported by the infrastructure of IT – Integrated with business processes – Provided by a service organization,

whether internal or external

IT service Evolution

• What is IT Service / What is Business service?– Business relevance of information?

• Typical Monitor and respond process – Identify Manageable Endpoints | Classify / Categorize Elements | Notify |

Granularize Iteratively | Remediate

• Maturity of IT – Organization structure with RACI to ensure right messages to right levels

• Data Centric view of IT?– Store | Manage | Administer | Transform | Transport | Visualize

Chapter 2Chapter 2

Once you’re thirsty, it’s long past the time you should have taken a drink,

• SNMP – MIBS • Agents that capture and control

– Proprietary / agent management

• Native – Agentless – OS capture / DB / Interface / Protocol

• Work on NMS to syn to – Service assurance – End user experience – Visualization – Improvements and trends – Business value

Chapter 3Chapter 3

• How to schedule across time zones for online transactions?• Challenge is is what to monitor

– thousands of counters “separating the wheat from the chaff” challenge

• Thresholds / limits / trends• App code tracing• Distributing alerts • Dashboard design

Chapter 3Chapter 3

Implementing BSM

• Value of BSM – Understand the Critical to Quality Services [ portfolio]– Manage Daily Risk and Improve Business Decision Making– Initiate Service Improvement Activities

• 7 steps of BSM Implementation

– These are malleable and need to be fit to a customer– 100% is never reached! [ CSI]

Chapter 4Chapter 4

7 steps in BSM Implementation

• Step 0 – prepare– Project Team / Charter

• Ensure that business is involved– Stakeholders / Plan

• Step 1 - Selection – Identify services MECE + Business – Just Enough | Phases | Low hanging fruit – Critical and measurable services– Define Service Breakdown – Assess [ Value / Cost ]

• Step 2 – Define– Structure. Behavior. Relevance.– Use Case Diagrams– Categorize

• Value / Outage impact / Abnormality Impact / RTO – RPO / SLA – OLA / Users / time / Code / Location /Dependencies

– Define SLR [ Service Assurance ] • Availability / Reliability / Performance

– Define PIE / Problem & opps - Kano– Define CSF

Chapter 4Chapter 4

7 steps in BSM Implementation

• Step 3 – Model – Hierarchical diagrams with business processes in relation to IT resources– FMEA / CRAMM / CFIA / FTA – Model Associated Metrics [KPI]

• user wait time, business metrics, systems & transaction performance– Build the service model

• Link metrics to actual data – Define the Data model [ERD]

• Step 4 – Measure– Ensure enough time for this step – Tie BSM to infra monitoring– Also attache End user monitoring– Tie into SM systems, SD, CMDB

• Step 5 – Data Analysis– Where are the gaps

• bad service quality, customer ratings, system overload, element response time, or transaction throughput

– What are the trends – Visualize the Data – Validate Data – Assumptions– Realize the Fault tree paths

• Derive Impact analyses•

Chapter 4Chapter 4

Remember too that BSM is not intended to “rip and replace” existing monitoring systems

7 steps in BSM Implementation

• Step 6 – Improve – What are the problem domains – Identify and resolve the gap

• De Bono – Simplicity • TRIZ – 40 Principles • Lean – 3M 5S 7W

– Recheck the model continually

• Step – 7 – Reporting– Ensure that reporting model does not stagnate [ users get reliant]– Dashboards – Notifications– Configuration control & handoff to operations

Chapter 4Chapter 4

Remember too that BSM is not intended to “rip and replace” existing monitoring systems

End user Experience Monitoring

• “Egg Timer” Problem – times but does not reflect the quality of the eggs

• Flow Analysis – Single flow analysis [End user monitoring]

• Understand the Client Network Server [CNS] Spread• Agent / Agentless || Server / Client || Service / Transaction

– Aggregate flow analysis [ flood monitoring]– Usage / Feature Profiling

• Visualize & Prioritize problems before the impact– Interface tracing / data channel sniffing /

Chapter 5Chapter 5

Achieving management valueChapter 6Chapter 6

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