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Be A Multi-Sourced - English PDF
Be A Multi-Sourced - English PDF
Be a multi-
sourced
IT services
broker.
HP Service Integration
and Management
Table of contents
3 Introduction
3 The business has already embraced multi-sourced services.
3 Short-term gain, long-term pain
4 The CIO as an IT service broker
4 Critical capabilities for an IT service broker
5 Taking charge and working with HP on service integration and management
5 Governance and process—SIAM f ramework and capability model
6 Technology—HP IT Performance Suite software
7 People—management of organizational change and training
7 SIAM solution benefits
8 Getting started
8 Conclusion
8 Learn more
Introduction This has changed the relationship between the “consumers” and the
largely internal providers of IT. The ease of commissioning cloud
Today’s organizations view IT as just another essential business services provision is driving risky behavior. For instance, consumer-
service to be delivered on demand like energy, human capital, level storage solutions used for enterprise data, without regard for
and financing. Behind the scenes, IT professionals struggle to corporate IT policy, or consumer-level unified communications, such
deliver seamless, consistent, and cost-effective IT and application as Skype or IM, bypassing corporate governance guidelines.
services, flexibly serving short-term business needs but aligned to
long-term corporate goals. Increasingly the IT-as-a-service model means external IT services
compete head to head for budget with internal IT teams. Quick
Key business processes are now enshrined in IT, increasing the wins from cloud provisioning build user confidence for more such
pressure for IT to provide innovative services more quickly and purchases. In fact, business groups are now adopting cloud services
efficiently. Additionally, delivering s ervices is becoming more five times faster than IT groups and software vendors are planning
complex. Business process outsourcing, rising globally1 5 percent to deliver 85 percent of new software as a service by 2012. These
annually, has replaced many IT processes previously delivered trends mean that IT will likely be asked to support services it did
in house. Analysts predict enterprise cloud services will be used not provision and then be asked to support the services whether
by eight out of 10 of the Fortune 1,000 companies. Both provide resources are available or not.
valid alternatives to on-premises infrastructures and in-house IT
resources, but require sophisticated integration and management
of IT services. Short-term gain, long-term pain
Even now, despite decades of progress on IT best practices via In the short term, the advantages of ad hoc cloud adoption are
service management and ITIL, delivering to strict performance deceptively attractive to business divisions. Flexibility and improved
levels eludes all but a few world-class IT organizations. Wrestling time to market for new offerings are compelling capabilities.
this growing mixture of delivery platforms (cloud and on premises), Forrester research reports that speed of implementation
working practices (internal and from outsourcers) with multiple and deployment is the b iggest reason for moving to an SaaS
vendor service contracts to build a coherent service portfolio is one environment.1 However, these benefits come with a long-term
of the most difficult challenges facing senior CIOs. cost. Externally sourced IT services require clarity within contracts
to manage the roles, responsibilities, and, most importantly, the
However, this new multi-vendor “supply chain of IT” offers the service levels expected and liabilities incurred by providers. As the
best opportunity in a decade for IT to strike up a new relationship number of providers and externally sourced services increases, so
with its internal customers—one based on the value of the service does the c omplexity of contract management, due to the inter-
delivered, rather than just the applications and infrastructure it is dependence of the services. This can lead to a wide variance in
entrusted to manage. This paper explores how CIOs can seize the service levels that will negatively impact the perception of IT’s
opportunities offered by a cloud-enabled multi-supplier service performance and value to the business. Effective corporate IT
delivery chain. governance becomes extremely difficult with IT service contracts in
the hands of different business units.
The business has already embraced And without a strategy for multi-supplier service integration and
management (SIAM), there is a real risk of “supplier sprawl,” in which
multi-sourced services. it is difficult to manage suppliers, identify how each service maps to
Businesses realize that success depends on having the right IT the business’ strategic goals, and govern the overall service delivery
services available at the required service levels when the business to meet corporate and industry requirements. As the balance of power
needs them. Enterprise cloud IT services have been mainstream switches from IT experts directly employed by the enterprise, to a
for some time and the economic arguments for this method of widening pool of external suppliers, executing their own business
delivering IT via external services are unavoidably compelling. strategies, the less strategic and relevant the internal IT organization
seems to non-IT executives. This creates a vicious cycle whereby IT
Budget holders now routinely source IT services and IT-enabled works to demonstrate value but lacks the necessary authority and
business processes from outside the organization. Sourcing basic IT governance processes to ensure consistent quality of performance,
services such as storage capacity, telecommunications provision, or cost efficiency, and innovation that drives business growth.
computing cycles cost effectively from an external provider is easier
than requesting the internal IT department to create and provision The questions below are a useful guide to check how deeply IT is
them. In their view, asking forgiveness is easier than permission. involved in buying and integrating IT services.
1
Forrester Research, Forrsights Software Survey, Q4, 2010. 3
Who really owns service integration and management?
For each major IT service provided for your businesses
who owns:
• The procurement process for IT services?
1. A
lign the IT services portfolio Service portfolio and demand Distinguish between core and commodity IT services. Manage demand and create the right
with the business strategy. management service portfolio mix from internal and external providers that maps to strategy.
Enterprise architecture and risk Create standard enterprise and IT architectures that flexibly support the business operating
management model and mitigate disruption through business changes, including future acquisitions.
Financial and value management Establish and compare service costs, review return on investment, and interpret value over
time at the enterprise level, not just IT.
2. Manage multiple suppliers Service sourcing strategy Identify the suppliers able to provide the services most suited for the business, reflected by
effectively. terms and conditions, business culture, and service portfolio.
Multi-supplier management to ensure Manage service suppliers and discuss their performance and relative strengths. Conduct
optimal supplier performance performance reviews, supplier comparisons, and hold effective contract negotiations.
3. D
eliver excellence in IT End-to-end service integration, Integrate end-to-end services at required service levels. Capture service management,
services provisioning. management, and governance including operational and support activities, in governance structures and contractual roles
and responsibilities.
Service automation and optimization Automate provisioning of on-demand services from the service catalog.
Service catalog with self-sourcing Create a service catalog containing available and planned services, easily visible and
controls accessible, which can be self-sourced as required by business users.
Service integration standards Standardize governance structures, processes, management tool architecture, and interfaces
to drive ease of on-boarding providers and services.
4
IT service broker capabilities
Taking charge and working with HP on
Governance management
service integration and management
HP’s position as the world’s largest IT provider, its pioneering position
Business management as the author of ITIL v3 books and industry best practices, and its
consultancy work with the most demanding IT teams globally make it
Operational service management
the ideal partner to guide your service integration and management
journey. HP Service Integration and Management solutions offer
world-class techniques, tools, and training to help IT professionals
rnance framework
Gove establish the new IT and business architectures necessary to manage
across today’s multi-vendor IT s ervices environment.
Proc
est man urem
HP Service Integration and Management (SIAM) capability model
qu t
nt
Re llmen age en is a reference model used to streamline and reduce the cost and
me
me
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ge
OSM interm
ana
nt
management
Demand
SIAM
base
o
Projec
OS
M
g
ad
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van
an
t go
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m
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re
• Technology—HP IT Performance Suite software
ica
me p
n
Fin ortin
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n
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na
C ati
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es
o
5
HP IT Performance Suite
Executive Scorecard
IT Financial Management Project and Portfolio Management Application Portfolio Management Workforce and Vendor Management
Software Security Assurance (SSA) Security Information and Event Management Network Security
Application Quality Application Governance Data Center Application IT Service Network Security
Management Automation Availability and Management
Performance
Information Archiving
Requirements Performance Validation Client System Asset
Management Automation Management Management
Enterprise Records Management
Development Application Security Network
Management Validation Management
Technology—HP IT Performance Suite HP Executive Scorecard provides IT executives with role-based views
into real-time financial and non-financial IT performance and priorities.
software
HP Project and Portfolio Management Center software helps
HP IT Performance Suite software automates the critical business
manage service demand across the business.
processes that provide IT leaders with the transparency and
governance needed to successfully manage and optimize a multi- HP Business Availability Center and HP Operations Center
supplier hybrid environment. It automates and streamlines multi- software solutions provide service operations and highlight
vendor service deployment, management, tracking, and reporting. service health, verifying the performance of internal and external
The HP IT Performance Suite offers an open extensible data model services provisioning. They also enable automated service
and bundled integration capabilities. Based on best-practice provisioning on demand.
frameworks like ITIL, the HP IT Performance Suite is designed to
inter-operate with existing client products and IT standards. HP Universal CMDB, HP Service Manager, Release Control,
and HP Asset Manager solutions support service assurance and
asset management.
6
People—management of organizational
change and training
IT transformation and the introduction of new technology,
governance, and processes will invariably be seen as a disruption
to end users, which can lead to adoption resistance. Managing the
change formally will help create a smoother implementation by
providing a process and framework for the transition, including
effective communications that continuously engage all stakeholders
and end users.
Training and establishing the right new skills and competencies SIAM solution benefits
are also part of an effective transformation initiative. HP Education Reduced complexity: The SIAM approach allows companies to
provides client-tailored training solutions for the SIAM processes and manage suppliers based on a single standardized framework reducing
service integrator layer of HP IT Performance Suite software. These complexity and easing the benchmarking of suppliers and services.
courses can be delivered off-site or on client premises. In addition,
HP is able to create on-line and recorded on-demand training. Reduced cost and effort: Standardized, modularized, and lean
multi-supplier governance and management structures facilitate
measurable cost reduction for both company and its suppliers.
7
Getting started Conclusion
HP Software Professional Services offers two services to help clients IT-savvy employees increasingly reject poor service levels,
confirm their goals and plan their SIAM transformation activities in demanding timely IT services provided by whoever can deliver
order to operate an optimized multi-sourced service delivery model, operational excellence, customer intimacy, and drive innovation
including sourcing of cloud services. and product leadership. HP SIAM offers customers the opportunity
to avoid the inevitable pitfalls of “supplier sprawl” that will
SIAM transformation workshop is a one-day consulting workshop result in the race to procure valuable new services. HP Software
to clarify scope and build a high-level roadmap. Professional Services has over twenty years’ experience in service
management for large, complex IT environments, providing
SIAM roadmap service is a four- to eight-week service that supports its customers’ access to best-practices in service integration
the definition, planning, and future decision making of the required and management. Additionally, HP consultants are experts in
SIAM transformation consisting of four key stages: the HP IT Performance Suite software and have direct access
to HP R&D, ensuring latest product capabilities are applied to
1. F uture-state description, starting with the business impact
customer environments. HP Software Professional Services
2. Current-state assessment establishing the gap with the future state offers an end-to-end-consulting portfolio that combines
strategic advisory services, process design, management of
3. Project and schedule creation of the program to transform the organizational change, and solution implementation services to
organization help companies manage complex, multi-supplier environments
and derive more business value from their IT investments.
4. Business case with quantified value/benefit of the future state
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