Practical application of ITIL
-
Upload
hp-software-solutions -
Category
Documents
-
view
1.389 -
download
2
Transcript of Practical application of ITIL
1 ©2010 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice
Practical application of ITIL
Brian FinnDirector, PricewaterhouseCoopers LLP
Daniel PettiboneDirector,PricewaterhouseCoopers LLP
Agenda
• Overview of ITIL
• IT as a Strategic Enabler
• Synchronizing ITIL and the Business Side of IT
• ITIL, Adopt and Adapt
• ITIL, the First 10 Steps
• Delivering a Customized ITIL Solution
• Customized ITIL Example
• How is Success Measured
• Where have we been successful
• Questions
PricewaterhouseCoopers
• The Information Technology Infrastructure Library, or ITIL, now on its third
version, is considered an unofficial industry standard for IT service
management (ITSM) and service delivery leading practices.
• ITIL is a set of concepts and practices for managing IT services,
development and operations.
• ITIL gives detailed descriptions of IT leading practices and provides
comprehensive checklists, tasks and procedures that any IT organization
can tailor to its needs.
• ITIL is published in a series of books, each of which covers an IT
management topic.
What is ITIL...?
Slide 3
PricewaterhouseCoopers
How ITIL can provide value
Alignment of IT services
with the current and
future needs of the
customer
Measureable
improvements in
the quality of the
IT services that are
delivered to customers
Sizable reductions in the
long-term costs of
service provisioning
and infrastructure
Scalable approach
to service support
and service delivery
Slide 4
PricewaterhouseCoopers
What are the ITIL process areas?
ITIL Version 2
ITIL Version 3
ISO 20000:
a standard for IT Service
Management
ITIL® is a Registered Trade Mark, and a
Registered Community Trade Mark of
the Office of Government Commerce,
and is Registered in the U.S. Patent and
Trademark Office
Slide 5
PricewaterhouseCoopers Slide 6
ITIL – Service Management practices core guidance
• Service Strategy: guidance on how to
create or improve alignment between
service management capabilities and
business strategy
• Service Design: creating the blueprint
for delivering the strategy
• Service Transition: guidance for
developing and improving capabilities
and transitioning to „live‟ operations
• Service Operation: guidance for
maintaining stability in daily operations
and ensuring value for services
• Continual Service Improvement:
methods and practices for quality
management and capability
improvement – creating and maintaining
value for customers
• The Service Lifecycle is based on a Hub
and Spoke Model
− Strategy is at the hub
− Design, Transition, and
Operations are revolving
lifecycle stages
− Anchored by Continuous
Improvement
− Non-linear by nature, with a
constant set of checks and
balances
PricewaterhouseCoopers
Some companies have made public the benefits they have realized by
implementing ITIL best practices for IT Service Management:
• Procter & Gamble: Started using ITIL in 1999 and has realized a six to
eight percent 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.
• Ontario Justice Enterprise: Embraced ITIL in 1999 and created a virtual
Help / Service Desk that cut support costs by 40%.
• Caterpillar: Embarked 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 over 90%.
ITIL adoption yields results
Source: Tom Duffy, 2001, “Efficiency tool kit”, Network World.
Slide 7
PricewaterhouseCoopers
As IT organizations in both the public and private sectors continue to expand
their adoption of ITIL as the benchmark for IT Service Management, ITIL
practitioners are provided an unique opportunity to take traditional, commodity
based, services and make them strategically important to business
operations.
Strategic value is created when IT operations are synchronized with the
underlying business operations.
IT as a strategic enabler
Slide 8
PricewaterhouseCoopers
Both the public and private sector continue to look for IT services to support
organizational transformation initiatives. By implementing the ITIL framework,
IT Service Managers are able to support this strategy of leveraging
technology to achieve organizational goals by aligning the IT services they
deliver to organizational goals. Implementing ITIL-based leading practices can
result in the following:
• IT-Business Synchronization: better alignment of IT services with the
current and future needs of the business and its customers.
• Quality Improvement: increasing the quality and reliability of the IT services
delivered
• Cost Control: reducing the long-term cost of service provision and realizing
gains from service efficiencies
Synchronizing ITIL and the business side of IT...
Slide 9
PricewaterhouseCoopers
Evolving mission of IT
Business complexity, broader technology adoption and increasing
expectations have forced a shift in the role of IT.
Support the business:
In the past, CIOs were focused on efficiency
supporting the business with optimal operational
performance.
Advance the business:
Now CIOs are also expected to advance the
business – developing flexible capabilities to increase
effectiveness, enabling the business to grow.
Differentiate the business:
There is an increasing expectation to drive innovation
– adopting new technologies to differentiate the
business
Slide 10
PricewaterhouseCoopers
Synchronizing visions
Synchronization proactively readjusts alignment points to your
destination of IT excellence. With it, you can define and communicate
strategic goals that support your evolving vision and the corresponding
proportions of innovation, effectiveness, and efficiency.
Slide 11
PricewaterhouseCoopers
IT Services Management (ITSM)We help clients improve their IT management/operational processes to be more effective, efficient, and
better aligned to business strategy/operations. We also help clients evaluate and implement various
service management approaches.
• Repeatable, rapid yet robust processes for
handling service provisioning and change.
• Self-provisioning “Utility” computing capabilities.
• Structure to handle large-scale IT changes
resulting from M&A, sourcing, or new application
deployment, in a known repeatable manner.
• Reduce costs through standardization of
operational and maintenance processes,
organizational alignment, consolidation (e.g.,
help desk), and automation
• Support capacity planning, demand
management, and asset management
• Visibility on true IT cost, usage, and charge-back
capabilities
Agility and
Time
to Market
Cost
Optimization
• Service catalog aligned with business needs
• Reduce impact of outage through proactive
management capabilities, augmented by
optimized reactive processes
• Enhance user experience though better
customer service (help desk) and end-to-end
management of application services
Service
Excellence
• Maintain accurate change and configuration,
asset, and license information
• Formalize and enforce segregation of duties
• Obtain ISO/CobiT certification
• Reduce outages
Risk and
Compliance
Business Drivers Representative Services Management Value
Value proposition
• Alignment of IT infrastructure initiatives with business
goals
• Flexible, scalable enterprise architecture defined to
support business strategy
• Set of standards, principles, and methodology for
infrastructure projects
• Clear realistic implementation plan
• Objective view independent of hardware/software
choice
Business Challenges
Today‟s businesses are highly dependent upon agile
information technology services and require services
management capabilities to deliver critical services levels
at an acceptable cost:
• New service and technology deployment
• Flexible and scalable infrastructure
• Service consolidation
• Reduce operating cost
Slide 12
PricewaterhouseCoopers
One of the major benefits of an ITIL implementation is the ability to tailor the
solution to organizational needs. As practitioners of ITIL, our primary focus is
to assist our clients with both the adopt phase, and the adapt phase.
Once an organization has decided to implement ITIL, practitioners must
begin supporting the adapt phase.
The adapt phase consists of three focus areas:
1. IT Organizational Maturity
2. Business Objectives
3. Synchronization
ITIL, adopt and adapt
Slide 13
PricewaterhouseCoopers
Infrastructure
(including tools)
Service Support &
Service Delivery
Culture, Attitude
Beliefs and skills
Strategy
Steering
Direction
Integration
People
Processes Technology
The objective of IT Service Management is to
facilitate that the IT Services are aligned to the
business needs. IT Service Managers should
recognize that it is imperative that the IT
Services they deliver underpin the business
processes. They should also be aware of their
increasingly important role to act as an agent
for change to facilitate business transformation.
Three key Objectives:
1. Align IT Services with the current & future
needs of the business & customers
2. Improve the quality of IT Services Delivered
3. Reduce the long-term cost of service
provision
Successful ITIL implementations focus on three key areas:
People, Process and Technology
Slide 14
PricewaterhouseCoopers
Most facets of today‟s business environment are almost entirely dependent on
IT services. Effective and efficient IT Operations Management is gaining
increasing interest from CIOs and other IT executives.
• A driving factor for this is that operational costs are increasing with every technology
implementation. The steady growth of business applications has added complexity
and management overhead. Unfortunately the management of IT operations has not
realized the same growth.
• High complexity, poor change management, silos of applications and the lack of
standards is resulting in poor service quality, slow service delivery and a lack of IT
efficiency.
• The recent attention on IT Operations Management has created strong interest in
best practice frameworks like ITIL and technology enablers like SOAs and CMDBs.
However, the goal of lowering costs and improving IT efficiencies must include
automated process driven management.
Generate process consistency
Slide 15
PricewaterhouseCoopers
Configuration management is the core of an optimized IT infrastructure. ITIL
Service Asset and Configuration Management (SACM) processes can allow
an organization to conduct ITIL reviews across a number of other ITIL
processes such as:
• Incident Management
• Problem Management
• Change Management
• Release Management
• Service Level Management
Configuration Management as a catalyst for ITIL implementations
Slide 16
PricewaterhouseCoopers
We use a functional model that is based on industry standards (e.g., ITIL,
eTOM) that is continually enriched based on our client engagement
experience. This model serves as the basis for developing our solution
components. It is used as part of our methodology to facilitate and accelerate
our engagements by adapting the model to our specific client requirements.
The Service Management (SM) approach illustrated on the next slide, is
PwC‟s Program Delivery methodology that has been adapted to Service
Management engagements. It utilizes methods from Process and
Organizational design and development through technology implementation in
a complete, integrated methodology.
PwC‟s Program Delivery methodology
Slide 17
PricewaterhouseCoopers
Depiction of PwC‟s Program Delivery methodology
Figure 2 - PwC Service Management Program Delivery Methodology
Continual Service Improvement
Strategy Build & Deploy Operate
IT M
an
ag
em
en
t L
aye
rs
Design
Strategic ITSM Planning
Service Portfolio Management
IT Financial Management
Demand Management
Information Security
Management
Service Level Management
IT Governance
Service Catalog Management
Capacity Management
IT Service Continuity
Management
SM Knowledge Management
Service Validation & Testing
Release & Deployment Mgmt.
Change Management
IT Asset Management
Access Management
Request Fulfillment
Incident Management
Problem Management
Middleware Virtual Tech. Network Desktops Mainframe / Servers Applications Databases Storage
IT Service Quality
Management
Process
Improvement
Service, Process & Technology Metrics
Reacting Reporting
Technology Management
& Operations
Manage IT Assets, Vendors
& Suppliers
Strategic Technology PlanningAvailability Management
Technology Eng Management
Configuration & Inv. Mgmt.
Technology Deploy Planning
Supplier & Vendor Management
Event & Performance Mgmt.
IT Operations Management
IT Business Management
Govern IT Services
& run IT as a Business
Service Fulfillment &
Assurance
Define, Deliver & Ensure
IT Services
Slide 18
PricewaterhouseCoopers
The following slide represents an approach to ITIL adoption. By stressing our
client's strengths and promoting the notion that by knowing the mission, goals,
and priorities from the front office to the operational level, we have been able
to show our client how it can be better poised to make strategic decisions on
how and where to engage the agency, develop long term relationships in the
agency, and distinguish itself from its competition.
How to adopt ITIL, in 10 easy steps...
Slide 19
PricewaterhouseCoopers
1 Prepare your project for ITIL• Know your stakeholders’ mission, vision, and goals
• Establish Process Management and documentation
• Promote ITIL project awareness and familiarization
6 Identify required ITIL-based roles• Develop detailed definition of process activities
• Identify required ITIL roles based on scope/effort
• Identify resources based on qualification
2 Define the client’s ITSM model• Determine desired IT service management structure
• Create a list of business services and objectives
• Determine supporting functions and responsibilities
7 Design ITIL-based processes• Determine required ITIL processes based on “to-be”
• Create guidelines/checklists to support execution
• Create detailed definition of process outputs
3 Perform an ITIL assessment• Ask key questions, list key actions and deliverables
• Complete ITIL Maturity Model Assessment
• Rate organization; list weakness and opportunities
8 Establish process governance• Determine process owners
• Define IT metrics and measurement procedures
• Set KPI targets and define reporting procedures
4 Define ITIL process interfaces• Determine process inputs and outputs
• Document internal and external touch points
• Create ITIL process roadmap
9 Perform implementation• Execute requirements and detailed process models
• Select systems to support “to-be” processes
• Implement systems, processes, and documentation
5 Define the “to-be” process structure• Review “as-is” results from Assessment
• Determine which ITSM processes are needed
• Create example future process state and structure
10 Continuous process improvement• Create ITIL knowledge management repository
• Train employees, educate customers, manage risk
• Monitoring, reporting, SLAs, OLAs, dashboards
ITIL: The first 10 steps
Slide 20
PricewaterhouseCoopers
Define Vision and High Level ObjectivesWhat is the problem?
How do we solve it?
Key Questions Key Actions
Where are we now?
What are the pain points?
How do we get where we
want to be?
How do we know when we
have arrived?
Diagnostics to Determine Pain Points
Develop ITIL Implementation Plan
Implement Processes and Procedures
Delivering a customized ITIL solution
Deliverables
ITIL Maturity Model
Assessment
Tailored Processes,
Gap Analysis,
As-is Architecture
Implementation Plan,
Performance Plan
Process:
Project
Plans
High Level
Process Model
Detailed Process
Description
Gather Tool
Requirements
Select Tools and
ConfigureTechnology:
People:
Awareness
Campaign ITIL Training
Process Workshops
(Knowledge Sharing)
Process
Implementation
Control Gate Control Gate
Implementation Approach
Scope and Objectives
Statement
Slide 21
PricewaterhouseCoopers
Service management solution delivery methodology
Our methodology is a well-defined set of project activities and
deliverables specifically designed to facilitate development, deployment,
and production integration of the IT service management solution.
Our experience goes beyond process design or tool implementations to
address the breadth of ITSM, including program management of
multiphase ITIL initiatives.
Technology work stream
Process work stream
Manage work stream (program, project, quality, organizational change, and communication management)
Process &
organization
Technology &
facilities
System &
integration
testing
Data
migration
Technology
design
(logical &
physical)
IT governance
Technology
build
& unit testing
Software &
infrastructure
deployment
DesignStrategize Build Deploy Operate
Process turnover
to process owners
IT process
design
IT process assembly &
consensus
Assessment
Strategy
Business Case
Road map
Detail plan
Operations &
continuous
improvement
User &
admin
training
UAT Solution
design
Policy &
procedure
definitions
Solution &
training
guides
Test plan,
scripts &
use cases
Requirements
analysis &
definition
Production
readiness
review
PricewaterhouseCoopers
The following slide represents a fully-customized ITIL implementation that,
based upon the Sponsor‟s priorities, both evolves in phases and matures over
time through a new Version 3 practice of Continuous Process Improvement.
Customized ITIL implementation example
Slide 23
PricewaterhouseCoopers
New IT Service
Delivery
Incident Management Problem Management Change Management
Release Management
Service Asset Configuration Management
Service Level
Management
Performance Management
Availability Management
IT Financial
Management
Demand Management
Continuity Management
(DR)
Capacity Management
Service Strategy and Design
Service Operation and Transition
Repaired CI New Version CI
Incident Data Request for Change
Management Information External IntegrationExternal interfaces and relationships between core processes have been established
IT Products andQuality Control
All relevant outputs are produced and verified against quality standards
Process Capability andInternal Integration
Minimum set of activities are preformed and integrated to fulfill process intent
Pre-requisites andManagement Intent
Minimum level of prerequisites exist to support processes
Level 5Level 4Level 3Level 1 Level 2
Knowledge Transfer
Service Desk
Trouble Ticket
Continuous
Process
Improvement
Monitoring and
Reporting
Performance
“Intelligence”
Dashboard
IT
Communication
Strategy
Service
Improvement
Program
Security
Improvement
Program
SLA / OLA
Maintenance
IT Security
Management
Threat
Management
Identity & Access
Management
Service Level Agreements
Operations &
Maintenance
ITSM Software
Suite & CM ToolsRemedy, HP OpenView,
Visionael
Logistics &
Procurement
Phase
Phase
Phase
1
2
3
1
1
1
1
2
2
2
2
2
3
3
3
33
Example
Sponsor’s Priority
Business/
Functional Areas
Enterprise-wide Managed IT Infrastructure
Foundational Enhanced Leading Class
1
Patches
Seamless Customer Interface
External review and validation of processes remains optimized toward fulfilling customer need
Slide 24
PricewaterhouseCoopers
ITIL Implementation Success Measurements
• Reduced total cost of ownership by identifying opportunities to improve efficiencies and provide long-term cost savings
• Improved IT services through the use of industry leading practices
• Improved end user / customer satisfaction (i.e., by understanding the strategic business needs of the customers and users, IT solutions can be designed, enhanced and maintained to align with these demands)
• Optimized Standards and guidance for continuous improvement and the elimination of redundant work (i.e., same processes and procedures used throughout the organization)
• Clearly documented and communicated roles and responsibilities for IT professionals in IT service delivery and support
• Improved use of existing skill sets and experience/resource utilization
• Improved delivery time of services (i.e. using standard processes and procedures can streamline the delivery of standard IT services)
• Improved availability, reliability and security of mission critical IT services (i.e., proactively monitor all components of a service, escalate any degradation, re-route users to redundant servers, circuits, etc.)
• Integrated central processes (e.g., Change, Configuration and Release Management, Service Desk with Incident and Problem Management)
How is success measured…to own the outcome?
Slide 25
PricewaterhouseCoopers
Measuring ITIL maturity
Configuration Management
•Assess the maturity level of the configuration management processes by
comparing current processes to the IT Infrastructure (ITIL) framework.
•Understand the processes in place to identify and track the relationships
between IT configuration items (CIs).
•Assess the maturity level of the repository housing CIs and the adequacy
of the processes for maintaining CIs.
Key Activities:
1. Planning (determining purpose, scope, and objectives)
2. CI identification (scope of CIs, level of detail, relationships)
3. CI status accounting (CI status)
4. CI control (recording changes to CIs)
5. Verification (verifying whether the CI information matches the actual
environment)
Slide 26
PricewaterhouseCoopers
1 InitialThere are no standardized processes; instead ad hoc approaches exist which are applied on
an individual or case-by-case basis.
2 Repeatable
Processes have developed to the stage where similar procedures are followed by different
people undertaking the same task. There is limited or no formal training or communication of
standard procedures, and responsibility is left to the individual. There is a high degree of
reliance on the knowledge of individuals and, therefore, errors and inconsistencies are likely.
3 Defined
Procedures have been standardized and documented, and communicated through training. It
is, however, left to the individual to follow these processes, and it is unlikely that deviations will
be detected. The procedures are the formalization of existing practices. Tools are used to
enforce or automate process workflow.
4 Managed
It is possible to monitor and measure compliance with procedures and to take action where
processes appear not to be working effectively. Processes are under constant improvement
and provide good practice. Tools are used to automate process workflow, improve efficiencies,
and provide data for continuous process improvement / trending analysis.
5 Optimized
Processes have been refined to a level of leading practice, based on the results of continuous
improvement and maturity modeling with other enterprises. IT is used in an integrated way to
automate the workflow, providing tools to improve quality and effectiveness, making the
enterprise quick to adapt.
Measuring ITIL maturity
Based on the understanding of the current configuration management
processes compared to the ITIL framework a relative maturity level is assigned
using a scale of 1 to 5 as defined below:
Slide 27
Where we have been successful
PricewaterhouseCoopers
ITSM project examples
Client ITSM success story
Leading cable
service provider
Summary: The client is a top cable service provider offering telephony, video, and
data services across the United States. The company was looking to increase
efficiency and service by streamlining and/or consolidating its operations centers for
fault and problem management. PwC led the definition of a target model for the
eight operations centers, designed supporting technologies and processes, and has
led the implementation and improvement effort.
Global
pharmaceutical
company
Summary: The client was looking to migrate its existing help desk to support a
higher level of service management. The client had never worked with a GSI before.
But based on a number of ITIL workshops conducted by PwC with the client, the
company decided to expand the scope of its initiative to include configuration and
change management. This allowed the client to further address FDA 21 CFR Part 11
and CSV regulatory requirements.
Major credit
card company
Summary: PwC conducted a project with the client in assessing and reengineering
its incident and problem management process to enhance and design global ITIL-
based security incident and problem processes for networks, servers, and
applications. PwC created a foundation for proactive incident and problem
management processes and defined the technology requirements for enabling the
global security management service based on ITIL process goals.
Slide 29
PricewaterhouseCoopers
ITSM project examples
Client ITSM success story
Large US
energy company
Summary: PwC assisted a large US energy company in creating a strategic, five-
year ITSM implementation plan to more efficiently deliver the supply of IT services.
This resulted in a $100 million reduction in the company‟s annual IT budget. PwC
also assisted this commercial company in setting up a project management office to
track progress of its service management program. Additionally, the firm created a
detailed quarterly report scorecard to articulate the progress and benefits achieved.
Large
healthcare payer
Summary: A US healthcare payer approached PwC to assist in the development of
an IT governance framework based on COBIT and ITIL. PwC conducted an overall
assessment of ITIL maturity and gap analysis that resulted in the creation of a
strategic road map (three-year plan) for establishing and implementing the
governance program. Through this road map, the client could improve its IT
capabilities and address regulatory compliance. The road map included detailed
project charters and cost estimates for more than 20 IT governance-related projects.
The client has since executed on the road map and has successfully completed 17
of the 20 recommended projects; this has helped the client reduce system downtime
by 40 percent, which translates into a $10 million annual savings. Additionally, the
client realized a 5 percent productivity gain.
Slide 30
PricewaterhouseCoopers
ITSM project examples
Client ITSM success story
Major cable
entertainment
and telecom
company
Summary: PwC assisted a major cable entertainment and telecommunications
company with an ITIL assessment. The client had undergone tremendous growth
over the last few years that put mounting demands on its information technology.
The client had also undergone a significant reorganization of the IT division,
including the merging of traditionally disjointed groups. However, significant
inefficiencies in the way IT operations were managed and delivered led to a poor
perception of IT from the user community, poor integration between IT support tiers
and functions, and inefficient usage of staff. PwC conducted a maturity assessment
of the client's core IT processes against leading practices outlined in the ITIL. The
team identified short-, mid-, and long-term opportunities to change the division‟s
organization and processes to be more effective and efficient and to move toward a
leading-class IT organization. PwC's assessment helped the company to gain:
• A clear prioritization of gaps to be bridged and a baseline with which to begin
more effectively measuring IT performance from the business perspective
• A pragmatic approach to building required improvements into existing IT service
delivery initiatives so that efforts are not duplicated and staff and management
buy in to the changes
• A vehicle to help improve IT and business alignment, enhance end user
satisfaction, and establish a continuous process-improvement framework
Slide 31
PricewaterhouseCoopers
Questions?
PricewaterhouseCoopers
How to contact today‟s speaker
Brian Finn
Advisory Services Director
PricewaterhouseCoopers
(703) 918-3007
Daniel Pettibone
Advisory Services Director
PricewaterhouseCoopers
(703) 918-3296
34 ©2010 Hewlett-Packard Development Company, L.P.
To learn more on this topic, and to connect with your peers after
the conference, visit the HP Software Solutions Community:
www.hp.com/go/swcommunity
35
PwC
www.pwc.com
© 2010 PricewaterhouseCoopers LLP. All rights reserved. "PricewaterhouseCoopers" refers to
PricewaterhouseCoopers LLP, a Delaware limited liability partnership, or, as the context requires, the
PricewaterhouseCoopers global network or other member firms of the network, each of which is a separate and
independent legal entity. This document is for general information purposes only, and should not be used as a
substitute for consultation with professional advisors.