Itil:: What Is It? Why You Should Use It? How To Use It?

ITIL:
What is it? Why you should use it? How to use it?
Tampa Bay Technology Leadership Association
August 9, 2007
T.C. Kaiser Senior Customer Solution Architect CA, Inc.
Agenda
1. The Big Picture 2. The IT Infrastructure Library Definition, History, etc. 3. IT Service Management 4. ITIL v2 Service Support and Service Delivery 5. ITIL v3 The Service Lifecycle
6. The Benefits of ITSM

7. Real World Examples 8. Implementing ITIL Recommendations, What Not to Do 9. Q&A
August 9, 2007
ITIL: What, Why, How?
Copyright 2007 CA
Obstacles Prevent Effective Engagement
Overwhelming Demand:
Unstructured capture of requests and ideas No formal process for prioritization and trade-offs Reactive vs. proactive
IT Seen as Black Box:

Business lacks visibility Poor customer satisfaction
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Disparate Systems Reduce Efficiency
No Single System of Record for Decision Making
Relevant Metrics Hard to Obtain
Disparate Systems Costly to Maintain and Upgrade

IT Governance Landscape
August 9, 2007
Copyright 2007 CA
What is the Information Technology Infrastructure Library (ITIL)?

History and Definitions
What is the IT Infrastructure Library?

The IT Infrastructure Library (ITIL) is the most widely accepted approach to IT service management in the world. ITIL is a cohesive best practice framework, drawn from the public and private sectors internationally. It describes the organisation of IT resources to deliver business value, and documents processes, functions and roles in IT Service Management (ITSM).
Source: UK Office of Government Commerce
> ITIL is the basis of the worldwide standard for quality IT Service Management, ISO 20000
> ITIL was developed by the public and private sectors and globally adopted.
> ITIL is in the public domain.
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Copyright 2007 CA
The History of ITIL

1980s British government determined that the level of IT service quality they received was not sufficient. The Central Computer and Telecommunications Agency (CCTA) was assigned to develop a framework for efficient and financially responsible use of IT resources. This was a joint effort between the government and private sector experts. 2000 The CCTA merged into the Office for Government Commerce (OGC). Microsoft used ITIL as the basis to develop the Microsoft Operations Framework (MOF). 2001 Version 2 of ITIL is released. The Service Support and Service Delivery books were redeveloped. 2007 Version 3 of ITIL is released which adopts a lifecycle approach to Service Management with a better emphasis on IT-Business integration
IT Service Management
> IT Service Management is concerned with delivering and supporting IT services that are appropriate to the business requirements of an organization. This improves efficiency and effectiveness and reduces the risks of managing IT services. > Services are a means of delivering value to customers by facilitating outcomes customers want to achieve without the ownership of specific costs and risks. Outcomes are possible from the performance of tasks and are limited by the presence of certain constraints
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What is a Service?
Source: OGC ITIL Refresh: Vendor pre-release briefing, May 2007
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Anatomy of a Service (technical view)

SAP
PSFT Siebel Network Load Balancer
Firewall
Portal
Mainframe
Router
Switch
Database Web Servers Applications
Web Services
Identity Manager
Databases
3rd Party Applications
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ITIL Service Management (v2)

Service Management is the best known and most mature aspect of ITIL. It is comprised of two volumes: Service Support and Service Delivery.
Service Management
Service Support Service Desk Incident Management Problem Management Configuration Management Change Management Release Management
Service Delivery Service Level Management Financial Management Availability Management Continuity Management Capacity Management
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Core ITIL v3 Library
Source: Pink Elephant Whats New in ITIL v3, George Spaulding 2007
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ITIL v2 Service Support mapping to v3

ITIL V2 Process
Change Management
Primary ITIL V3 Book

Service Transition
Configuration Management
Incident Management Problem Management Release Management
Service Transition
Service Operation Service Operation Service Transition
Service Desk
Service Asset and Configuration Management including the CMDB
Service Operation
Service Transition CMBD is part of the Configuration Management system (CMS) Service Operation Service Transition
Fault Management (ICT Volume) Knowledge Management (NEW in the sense of service desk)
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ITIL v2 Service Delivery mapping to v3

ITIL V2 Process
Financial Management
Primary ITIL V3 Book

Service Strategies
Availability Management
Capacity Management IT Service Continuity Management
Service Design
Service Design Service Design Referenced in Service Transition, Service Operation and Continual Service Improvement
Service Level Management Service Catalogue Management
Service Design Service Design
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ITIL Service Management (v3)

Service Lifecycle

Service Strategy
> Practical Decision making > Business Eco systems > From value chains to value nets
> Adaptive processes for customers, services and strategies

> Linking to external practices and standards > Managing uncertainty and complexity
Provides the guidance on how to design, develop, and implement service management as a strategic asset.
> Increasing the economic life of services > Selecting, adapting and tuning the best IT service strategies
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Service Design
> Pragmatic Service Blueprint > Policies, Architecture, Portfolios, service models > Effective technology, process and measurement design > Outsource, shared services, co-source models? How to decide & how to do it
Guides the design and development of services and service management processes
> The service package of utility, warranty, capability, metrics tree

> Triggers for re-design
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Service Transition
> Managing Change, Risk and Quality Assurance > Newly designed Change, Release & Configuration processes > Risk and quality assurance of design > Managing organization & cultural change during transition
Provides guidance for the development and > Integrating projects into transition improvement of capabilities necessary to transition new and/or > Creating & selecting transition models changed services into operations
> Service knowledge management system
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Service Operation
> Responsive, stable services > Robust end to end operations practices > Redesigned, incident and problem processes > New functions and processes > Event, technology and request management > Influencing strategy, design, transition Tailors guidance on achieving effectiveness and improvement and efficiency in the delivery and support of > SOA, virtualization, adaptive, agile services such that value is service operation models achieved for the customer and captured by the service provider
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Continual Service Improvement

> Measurements that mean something and improvements that work > The business case for ROI > Getting past just talking about it > Overall health of ITSM > Portfolio alignment in real-time with business needs > Growth and maturity of SM practice
Sustains the creation and maintenance of customer value through better design, introduction, and operation of services
> How to measure, interpret and execute results
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Shifting Focus
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Why ITIL?
Why should you implement processes based on the ITIL Framework?
The Case for IT Service Management

> The Business is more and more dependent on IT. > Complexity of IT constantly increases. > Customers are demanding more for less. > Global competitiveness growing at a rapid rate requiring a more flexible approach to integration. > Stronger focus on controlling the costs of IT. > Low customer satisfaction levels.
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Benefits to the Organization

> Improve Resource Utilization > Be more competitive > Decrease rework > Eliminate redundant work > Improve upon project deliverables and time > Improve availability, reliability and security of mission critical IT services > Justify the cost of service quality > Provide services that meet business, customer, and user demands > Integrate central processes > Document and communicate roles and responsibilities in service provision > Learn from previous experience > Provide demonstrable performance indicators
Source: Pink Elephant The Benefits of ITIL White Paper, March 2006
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Real World Benefits

> Procter & Gamble
Started using ITIL in 1999 and has realized a 6% to 8% 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.
> 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 more than 90%.
> Nationwide Insurance

Implementing key ITIL processes in 2001 led to a 40% reduction of its systems outages. The company estimates a $4.3 million ROI over the next three years.
> Capital One

An ITIL program that began in 2001 resulted in a 30% reduction in systems crashes and software-distribution errors, and a 92% reduction in business-critical incidents by 2003.
Source: Pink Elephant The Benefits of ITIL White Paper, March 2006
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Why Implement ITIL

Ultimately IT Service Management is about maximizing the ability of IT to provide services that are cost-effective and meet the expectations and needs of the business.
> > > > > > > > >
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Streamline service delivery and support processes Develop repeatable procedures to aid first level support groups Reduce number of service incidents and outages Implement standards to do things right the first time Perform proactive analysis, prevention and resolution Plan for and ensure future capacity Define clear services and service targets Accurately allocate and recover costs Audit, manage and improve IT processes
August 9, 2007 ITIL: What, Why, How? Copyright 2007 CA
Reduce Cost of Operations
Improve Service Quality
Improve User Satisfaction
Improve Compliance
The How
ITIL Implementation Best Practices
ITIL is not a step-by-step process

ITIL Processes can be difficult to implement since ITIL in it's current form describes the "what" but not the "how" of IT service delivery. In other words, a lack of implementation tools and best practices are increasing costs and timelines related to ITIL implementation.
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Each ITIL Initiative is Unique

What NOT to do
1. 2. 3. 4. Insufficient Management Buy-in or Budget. Ignoring the need to market and communicate within & outside IT. Training internal staff to the Foundation level with the expectation they can then implement ITIL successfully. No External Baseline Assessment or adoption of a maturity model to Create a valid roadmap.
5.
Thinking that technology alone can address the requirement for ITIL i.e. migrating bad process to new technology so automation is therefore not efficient enough to address IT needs.
Confusing Process with Procedures. Not dedicating enough resources to the development effort. Thinking process development equates to process implementation. Weak documentation effort leads to inconsistent approach with very little chance of repeatability amongst IT Staff.
6. 7. 8. 9.
10. Failure to address IT Governance alignment.
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Recommendations
> Create a sense of urgency! > Decide/Declare Service Management Strategy > Engage all employees > Create Communications and Awareness campaigns > Focus on areas of pain
> Create a Program to transform the organization

> Appoint program sponsors and key players > Assess, Design, Build and Implement process refinement > Create an ITSM adoption program with a charter
Recommendations
> Develop a phased approach, which includes repeatable and consistent standards for all processes to follow > Breakdown work into manageable chunks
> Appoint process owners

> Begin remediation process > Utilize/Establish program management
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Iterative Process
What is the vision?
High Level Objectives
Where are we now?
Assessments
How do we keep the momentum going?
Where do we want to be? How do we get there? How do we check we got there?
Measurable Targets Process Improvements Measurement And Metrics
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Helpful Links
> www.itsmf.net IT Service Management Forum.
Tampa Bay Local Interest Group (LIG) meeting Sept. 22, 2pm.
> www.itsmfusion.com itSMF USA Conference, Sept. 1619, Charlotte, NC. > www.ogc.gov.uk UK Office of Government and Commerce. > www.pinkelephant.com ITSM consulting, events, education. > www.exin.org Independent education institute. > www.itpreneurs.com Training solutions for IT Management and IT Governance.
Questions?
For More Information: T.C. Kaiser Sr. Customer Solution Architect CA, Inc. Thomas.Kaiser@ca.com 813-731-7720 mobile

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ITIL:

Tampa Bay Technology Leadership Association

T.C. Kaiser Senior Customer Solution Architect CA, Inc.

6. The Benefits of ITSM

ITIL: What, Why, How?

Obstacles Prevent Effective Engagement

IT Seen as Black Box:

Disparate Systems Reduce Efficiency

No Single System of Record for Decision Making

Relevant Metrics Hard to Obtain

Disparate Systems Costly to Maintain and Upgrade

ITIL: What, Why, How?

What is the Information Technology Infrastructure Library (ITIL)?

What is the IT Infrastructure Library?

> ITIL is in the public domain.

ITIL: What, Why, How?

The History of ITIL

ITIL: What, Why, How?

Source: OGC ITIL Refresh: Vendor pre-release briefing, May 2007

ITIL: What, Why, How?

Anatomy of a Service (technical view)

PSFT Siebel Network Load Balancer

Database Web Servers Applications

3rd Party Applications

ITIL: What, Why, How?

ITIL Service Management (v2)

ITIL: What, Why, How?

Core ITIL v3 Library

ITIL: What, Why, How?

ITIL v2 Service Support mapping to v3

Primary ITIL V3 Book

ITIL: What, Why, How?

ITIL v2 Service Delivery mapping to v3

Primary ITIL V3 Book

Service Level Management Service Catalogue Management

Service Design Service Design

ITIL: What, Why, How?

ITIL Service Management (v3)

Source: OGC ITIL Refresh: Vendor pre-release briefing, May 2007

Source: OGC ITIL Refresh: Vendor pre-release briefing, May 2007

> Adaptive processes for customers, services and strategies

ITIL: What, Why, How?

> The service package of utility, warranty, capability, metrics tree

ITIL: What, Why, How?

> Service knowledge management system

ITIL: What, Why, How?

ITIL: What, Why, How?

Continual Service Improvement

> How to measure, interpret and execute results

ITIL: What, Why, How?

ITIL: What, Why, How?

Why should you implement processes based on the ITIL Framework?

The Case for IT Service Management

ITIL: What, Why, How?

Benefits to the Organization

ITIL: What, Why, How?

Real World Benefits

> Nationwide Insurance

> Capital One

ITIL: What, Why, How?

Why Implement ITIL

Reduce Cost of Operations