Continual Service

Improvement
- Sumit K. Jha

www.process-consultant.blogspot.com
 Contents

1. Overview
2. Key Concepts
3. Designing IT Services
4. Service Catalogue Mgmt.
5. Service Level Management
6. Supplier Management
7. Capacity Management
8. Availability Management
9. Security Management
10. IT Service Continuity Mgmt.
11. Q & A
Sumit K. Jha www.process-consultant.blogspot.com
 Overview
Click to edit Master title style
Click to edit Master subtitle style

Sumit K. Jha www.process-consultant.blogspot.com

 CSI: Goal

Continual alignment & realignment of IT services to changing business needs

This is achieved by identifying and implementing improvement opportunities
meant to enhance performance of IT services
Continually identify and implement opportunities for improving process:
Effectiveness
Efficiency
Cost effectiveness

Sumit K. Jha www.process-consultant.blogspot.com

 CSI: Objective

Review and analysis of service level achievement reports

Identify, recommend and implement improvement opportunities
Improve cost effectiveness of service delivery without any compromise on
quality and customer satisfaction
Ensure management of quality

Sumit K. Jha www.process-consultant.blogspot.com

 CSI: Value to Business

Improvements in “As Is” state

Benefits/gains achieved by realization of improvements (not always expressed in

monetary terms)

RoI

Value on Investment (VoI) – Extra value created

Increased organizational competency

Improved integration between people & processes

Ability of business & IT to react to change

Sumit K. Jha www.process-consultant.blogspot.com

 CSI: Scope

Overall health of ITSM as a discipline

Continual alignment of IT service portfolio with current and future business

needs

Maturity of IT processes for each service in a continual service lifecycle model

Sumit K. Jha www.process-consultant.blogspot.com

 CSI: Key Activities

Provide inputs for changes that flow through SS, SD, ST, and into SO
Conduct periodic maturity assessments
Audit internal processes and functions for compliance
Review deliverables for relevance
Conduct periodic customer satisfaction surveys

Sumit K. Jha www.process-consultant.blogspot.com

 Key Concepts
Click to edit Master title style
Click to edit Master subtitle style

Sumit K. Jha www.process-consultant.blogspot.com

Model For CSI
• Business vision
• Strategic vision & mission – Service Strategy
• Goals & objective – SS, SD, ST, SO & CSI

What is the vision?

Identify Vision Identified vision, mission,
goals and objectives

Where are we now?

Assessment of
Map “As Is” State
Next Improvement Cycle

baselines

Where do we want to be?

Setting measurable
Map “To Be” State
targets (sign-off criteria)

How do we get there?

Identify Implement service and
Improvement Steps process improvement steps

Did we get there?

Verify Achievement Use measurement & metrics
of Target to verify achieved targets

Sumit K. Jha www.process-consultant.blogspot.com

 CSI Model
• Business vision
• Strategic vision & mission – Service Strategy
• Goals & objective – SS, SD, ST, SO & CSI

What is the vision?

Identified vision, mission,
Identify Vision goals and objectives

Where are we now?

Assessment of

Next Improvement Cycle

Map “As Is” State
baselines

Where do we want to be?

Setting measurable
Map “To Be” State targets (sign-off criteria)

How do we get there?

Identify Implement service and
Improvement Steps process improvement steps

Did we get there?

Verify Achievement Use measurement & metrics
of Target to verify achieved targets

Sumit K. Jha www.process-consultant.blogspot.com

 Governance
GOVERNANCE
Ensures that:
Policies & strategies are implemented; Processes are followed; Definition of roles & responsibilities and
measurement & reporting; Implementation of actions to resolve identified issues

ENTERPRISE GOVERNANCE:
Enterprise governance is an emerging term ... to describe a framework that covers both the corporate
governance and the business management aspects of the organization. Achieving a panacea of good corporate
governance that is linked strategically with performance metrics will enable companies to focus all their
energies on the key drivers that move their business forward.
This is a huge challenge as well as a huge opportunity. Much work has been carried out recently on corporate
governance. But the performance aspects of governance have not received so much attention. Enterprise
governance considers the whole picture to ensure that strategic goals are aligned and good management is
achieved.
- Chartered Institute of Management Accountants – CIMA

IT GOVERNANCE
IT governance is the responsibility of the board of directors and executive management. It is an integral
part of enterprise governance and consists of the leadership, organizational structures and processes that
ensure that the organization’s IT sustains and extends the organization’s strategies and objectives.
- Board Briefing on IT Governance, 2nd Edition, 2003, IT Governance Institute – ITGI)

CORPORATE GOVERNANCE
Corporate governance is about promoting corporate fairness, transparency and accountability.
- J. Wolfensohn, President, World Bank, Financial Times, 21 June 1999

Sumit K. Jha www.process-consultant.blogspot.com

 IT Governance

Associated with every area of below diagram

Sumit K. Jha www.process-consultant.blogspot.com

 Deming Cycle

Sumit K. Jha www.process-consultant.blogspot.com

 Role of Measurement
Click to edit Master title style
Click to edit Master subtitle style

Sumit K. Jha www.process-consultant.blogspot.com

 Reasons For Monitoring & Measurement

Sumit K. Jha www.process-consultant.blogspot.com

 Baseline

A marker or a starting point for later comparisons

Used as an initial data point for service improvements
Key Requirements
Must be documented, recognized, and accepted
Must be established for:
Strategic goals and objectives
Tactical process maturity
Operational metrics and KPIs

Sumit K. Jha www.process-consultant.blogspot.com

 Types of Metrics

Technology Metrics
Metrics for measuring components and applications like:
Performance
Availability

Process Metrics
Used for ascertaining overall health of process; Quality, performance, value
and compliance
Typically consists of
Critical Success Factors (CSF)
Key Performance Indicators (KPI)

Service Metrics
Used for measuring overall result of service

Sumit K. Jha www.process-consultant.blogspot.com

 Defining Metrics & KPIs

Balance should be maintained considering the following perspectives:

Customer perspective – Customer’s perspective of IT
Internal processes – Measures operational excellence
Learning & growth
Financial

Sumit K. Jha www.process-consultant.blogspot.com

 7 Step Improvement
Click to edit Master title Process
style
Click to edit Master subtitle style

Sumit K. Jha www.process-consultant.blogspot.com

 The Process

Align/realign IT’s vision, strategy, goals and

Step 0: Business - objective with that of Business
IT (re)-alignment “Identify Vision”

Step 1: Define “As Define what should be measured for

Is” measurement establishing the “As Is” baselines.
criteria “Map ‘As-Is’ State”

Step 2: Define “To

Define what can be measured for determining the “To Be” state.
Be” measurement Perform gap analysis to identify improvement opportunities.
criteria “Map ‘To-Be’ State” & “Identify Improvement Steps”

Gather the data based on identified goals and

Step 3: Gather data
objectives and in line with KPIs & CSFs

Data is processed from various sources.

Step 4: Process data Processing is done based on defined KPIs and
CSFs.

Step 5: Data Data is analysed to identify gaps and

trends in service delivery.
analysis Data Æ Information

Step 6: Information Data formatting & assessment. Communication to

stakeholders & business. Information Æ Knowledge
assessment “Verify achievement of target”

Issues & solutions are identified; corrective actions

Step 7: Implement communicated & implemented for optimization,
control measures improvement and correction in service delivery.
New baseline is achieved. Next cycle starts.

Sumit K. Jha www.process-consultant.blogspot.com

 The Knowledge Spiral
Business and
IT Alignment
Step 1

Step 7 Step 2
Goals

Step 6 Step 3

Step 5 Step 4

Step 1 Step 2

Business and
IT Alignment
Step 3
Goals
Step 7 Step 4

Step 6 Step 5

Step 1 Step 2

Business and
IT Alignment
Step 3
Goals

Step 7 Step 4

Step 6 Step 5

Sumit K. Jha www.process-consultant.blogspot.com

 Role: Service Manager

Responsibilities include:
• Managing development, implementation, evaluation, and ongoing management
of new/existing products & services
• Providing leadership on development of business case and product line strategy
& architecture, new service deployment, and lifecycle management schedules
• Performing Service Cost Management activities in close partnership with other
organizations such as Operations, Engineering, and Finance

Sumit K. Jha www.process-consultant.blogspot.com

 Role: CSI Manager

Responsibilities includes:
• Success of all improvement activities
• Development of the CSI domain
• Communication of the vision of CSI across the IT organization
• To ensure that CSI roles have been filled

Sumit K. Jha www.process-consultant.blogspot.com

 RACI
Click to edit Master title style
Click to edit Master subtitle style

Sumit K. Jha www.process-consultant.blogspot.com

 RACI Model

Enables decisions to be made with pace and confidence

Responsible: Person or people responsible for getting the job done
Accountable: Only one person can be accountable for each task
Consulted: People who are consulted and whose opinions are sought
Informed: People that are kept up-to-date on progress

RACI Matrix

Sumit K. Jha www.process-consultant.blogspot.com

 Extended RACI Model

RACI-VS
Verifies: Person or group that checks whether the acceptance criteria has
been met
Signs off: This is the person that approves the V decision and authorizes
the product hand-off. This could be the Accountable person

RASCI
Supportive: Provides additional resources to conduct the work or plays a
supportive role in implementation

Sumit K. Jha www.process-consultant.blogspot.com

 Steps

Identify the activities/processes

Identify/define the functional roles
Conduct meetings and assign RACI codes
Identify gaps or overlaps
Distribute chart
Incorporate feedback
Ensure allocations are being followed

Sumit K. Jha www.process-consultant.blogspot.com

 RACI: Functional Analysis

Many “A”s
Duties segregated properly
Should somebody be accountable
Will this cause a bottleneck in some areas, delaying decisions

Many “R”s
Too much for one function

No empty spaces
Is role needed for so many tasks

Sumit K. Jha www.process-consultant.blogspot.com

 RACI: Activity Analysis

More than one A

Only one role accountable
No “A”s
At least one A should be assign to each activity
More than one R
Too many roles responsible (no one takes responsibility)
No “R”s
At least one person must be responsible
Many “C”s
Can extra time be justified
Is there a requirement to consult with so many roles
No “C”s and “I”s
Communication channels open

Sumit K. Jha www.process-consultant.blogspot.com

 Q&A
Click to edit Master title style
Click to edit Master subtitle style

Sumit K. Jha www.process-consultant.blogspot.com

 Quiz

Q1. Which of the following is NOT a step in the Continual Service Improvement (CSI) model?
a) What is the vision?
b) Did we get there?
c) Is there budget?
d) Where are we now?

Q2. What is the RACI model used for?

a) Documenting the roles and relationships of stakeholders in a process or activity
b) Defining requirements for a new service or process
c) Analyzing the business impact of an incident
d) Creating a balanced scorecard showing the overall status of Service Management

Q3. What is the main reason for establishing a baseline?

a) To standardize operation
b) For knowing the cost of services provided
c) For roles and responsibility to be clear
d) For later comparison

Sumit K. Jha www.process-consultant.blogspot.com

 Quiz (Cont.)

Q4. Which of the following are the three main types of metrics as defined in Continual Service
Improvement (CSI)?
1. Process Metrics
2. Supplier Metrics
3. Service Metrics
4. Technology Metrics
5. Business Metrics

™ 1, 2 and 3
™ 2, 4 and 5
™ 1, 3 and 4
™ 1, 2 and 4

Q5. What is the CORRECT order of the first four activities in the 7 Step Improvement Process?
a) Define what you should measure, define what you can measure, gather data and process data
b) Gather data, process data, analyze data and present data
c) What is the vision, where are we now, what do we want to be, how do we get there?
d) Gather data, process data, define what you should measure and define what you can measure

Sumit K. Jha www.process-consultant.blogspot.com

 Quiz (Answers)

Q1. c
Q2. a
Q3. d
Q4. c
Q5. a

Sumit K. Jha www.process-consultant.blogspot.com