capturing the real value of it service management

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Capturing the Real Value of IT Service Management Stew Hogg & James Alderson 14 th Feb 2014

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Providers of IT services, can no longer afford to focus on technology, they must consider the quality of services they provide and their relationship with the business. IT Service Management outlines how people, processes and technology can be used to increase the value that IT can bring to the business. Through the implementation of a framework of improved processes, quick wins and a commitment to continuous improvement an IT service can be matured to offer a proactive and value focussed service which is aligned with the required business aims. Practical examples will be used to demonstrate best practice and the potential benefits.

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Page 1: Capturing the Real Value of IT Service Management

Capturing the Real Value of IT Service ManagementStew Hogg & James Alderson

14th Feb 2014

Page 2: Capturing the Real Value of IT Service Management

Scope

• What is IT Service Management (ITSM)?• Service Management: A Journey• The Business and IT Alignment• Getting Started with ITSM• A New View of IT

Page 3: Capturing the Real Value of IT Service Management

What is IT Service Management?

Page 4: Capturing the Real Value of IT Service Management

Why do we need IT Service Management?

Page 5: Capturing the Real Value of IT Service Management

What is IT Service Management

IT service management focuses on the optimisation of:

To ensure that an IT

service can deliver

real value to the business

Technology

Process

People

Page 6: Capturing the Real Value of IT Service Management

What challenges does your IT service struggle with?

Poor ROI

Lack of strategic vision

Communication

Poor user perception

Poor understanding the business

Uncontrolled expenditure

Skills gap

Unproven business continuity

Misunderstanding of major risks

Lack of visibility to facilitate decision making

Page 7: Capturing the Real Value of IT Service Management

Overview of ITILv3

• End to end Lifecycle approach

• Embedded continual service improvement

• Focus on alignment with business priorities

• Measuring success in terms of business value

Page 8: Capturing the Real Value of IT Service Management

The Service Lifecycle

Service StrategyStrategies, policies, standards

Service DesignPlans to create and modify services and service management processes

Service TransitionManage the transition of a new or changed service and/or process into production

Service OperationDay-to-day operations of services and service management processes

Continual Service ImprovementActivities are embedded in the service lifecycle

Page 9: Capturing the Real Value of IT Service Management

Benefit or Bureaucracy

Positive• Adopt and adapt to your

business needs

• Improved business agility: reduce change cycle time by up to 50%

• Save cost: right first time reducing rework

• Improved customer & user perception

Negative• Cost overhead to implement

new processes

• Cumbersome and rigid if adopted without a business focus

• Business engagement needed before full ITSM is adopted

• ITIL language can be a barrier

Page 10: Capturing the Real Value of IT Service Management

The ITSM Journey

Page 11: Capturing the Real Value of IT Service Management

A long running problem…

Page 12: Capturing the Real Value of IT Service Management

SupportFocus

StrategicFocus

BusinessFocus

CustomerFocus

TechnologyFocus

Profit Centre

• Task driven culture

• Inconsistent Documentation

• Product led• Silos of

Technology

• Basic Alerting• Repeatable

Support Processes

• Incident Driven Projects

• Limited Asset Management

• Problem Management

• Process Owners

• Regular KPI Reports

• Controlled Asset Management

• Business led goals

• Understanding of business priorities

• Financial Planning

• Continual Service Improvement

• IT is a Strategic Partner

• Catalyst for Innovation

• Business Alignment

• Pre-emptive Capability

Technology Centric

Business Centric

Service Maturity Journey

Ad-Hoc

Reactive

Proactive

ServiceValue

Page 13: Capturing the Real Value of IT Service Management

Scope of Maturity Assessments

• The journey involves taking reviewing the following 5 aspects of the IT service– Vision– People– Process– Technology– Culture

Page 14: Capturing the Real Value of IT Service Management

Targeting Maturity

Ad-Hoc Value

Page 15: Capturing the Real Value of IT Service Management

Delivering real value

Any process of service maturity should be financially neutral at least!

Page 16: Capturing the Real Value of IT Service Management

Business and IT Alignment

Page 17: Capturing the Real Value of IT Service Management

In reality…

• It all starts and ends with a clearly defined business strategy

• An IT department is purely a service function

• Technology has little value in its own right• The business wants more value out of the

money spent on technology

Page 18: Capturing the Real Value of IT Service Management

Why is it so hard?

Business

Poor service and IT department ‘geek

speak’

Lack of business awareness in the IT

Department

Focus on technology rather

then solving business problems

IT

Poorly defined or communicated

Business Strategy

Lack of technology awareness at Board

Level

Lack of commitment to technology

projects

Page 19: Capturing the Real Value of IT Service Management

What’s in it for me?

• Better agility – IT and Business• Performance can be measured• Turning risks into opportunities• Demands on IT can be managed• Delivery on organisational strategy

improved through use of technology

Page 20: Capturing the Real Value of IT Service Management

Realising Value: The 5 ways

Improving quality and productivity, reduce costs

Enhancing customer relationships and service

Teamwork and collaboration

Timely Management Information

Information security and risk reduction

Page 21: Capturing the Real Value of IT Service Management

Business Engagement

• Why is it important to engage the business? Can IT “go it alone”?

• How can you get the business engaged in improving IT service delivery?– The IT Team must prove to the business that

they understand– Speak the same language

Page 22: Capturing the Real Value of IT Service Management

Same language?

“IT struggles to provide value to the business as their contribution is not

seen”

“The business do not communicate their priorities and strategic

direction to IT - IT cannot influence or support this objective in the most

effective way”

“Additional value could be provided by IT in the form of

new services if they were involved in business initiatives”

“IT don’t understand or

react to the pressures faced

by the business”

“IT get bogged down in the detail of technology and don’t look at the bigger picture”

Page 23: Capturing the Real Value of IT Service Management

Suppliers or Partners?

• Being perceived as a supplier:– may impact IT’s ability

to contribute to the corporate strategy

– accentuates the divide between business and the IT

Page 24: Capturing the Real Value of IT Service Management

What should we do?

Listen

Engage

Determine Business Need

Address the Gaps

Review

Pragmatism is key!

Page 25: Capturing the Real Value of IT Service Management

Getting Started with IT Service Management

Page 26: Capturing the Real Value of IT Service Management

Gathering Momentum

Page 27: Capturing the Real Value of IT Service Management

Analyse the status quo

• Gap analysis

• Identify quick wins

• Highlight major risk

• Identify opportunities

Page 28: Capturing the Real Value of IT Service Management

Practical ITSM Tips

Don’t

• Try to implement all ITSM process in one go

• Proceed without senior management support

• Implement ITIL for ITIL’s sake

• Start with technology

Do

• Engage the organisation at every level

• Understanding how we deliver against the vision

• Start with CSI process and identify quick wins

• Implement ITSM as a continuous programme

Never lose sight of the fact that IT exists to support the BusinessEmbed this within the culture!

Page 29: Capturing the Real Value of IT Service Management

Consolidation … just as important as innovation

Page 30: Capturing the Real Value of IT Service Management

A new view of IT

Page 31: Capturing the Real Value of IT Service Management

Introducing your new strategic partner

• Profit centre• Proactive in nature• People focussed• Process maturity• Performance through technology• Praised by the customers• Partner to the business

Page 32: Capturing the Real Value of IT Service Management

Let’s Get Started

• Appoint a champion

• Baseline existing service

• Capture the Vision

• Deliver!

Page 33: Capturing the Real Value of IT Service Management

Questions?

Email: [email protected] | [email protected]

Twitter: @Waterstonsltd | @mrJamesAlderson

Page 34: Capturing the Real Value of IT Service Management

Coming soon…

PREPARING FOR MOBILE DEVICE MANAGEMENT AND BYODFriday 28th February 2014, 11:45am, Waterstons Durham office

Charlie Hales and Nigel Robson will cover the important considerations a business should make before implementing an MDM/BYOD strategy, and will consider the ongoing implications of allowing corporate data to be accessed on personal devices ensuring the maximum benefit to businesses, customers and the end users.