How to think and act in a strategic manner How to transform Service Management into a strategic asset

Understand the cost and the value of services

Provides guidance on how to design, develop and implement Service Management not only as an organizational capability but as a strategic asset.

Provides guidance on the principles underpinning the practice of Service Management.

Key concepts

Utility and Warranty Value Creation Strategy Generation

Processes

Demand Management Service Portfolio Management (SPM) Financial Management Strategy Generation

To understand what services we offer To set policies and objectives of services To understand how we create value To offer advice on strategic Investments
Provides guidance on how to design, develop and implement Service Management not only as an organizational capability but as a strategic asset.

To understand how to define service quality.

Utility and Warranty define services and work together to create value for the customer.

Utility
What does the service do?
Functional requirements

Warranty
How well does the service do it?
Non-functional requirements

Features, inputs, outputs

fit for purpose

Capacity, performance, availability

fit for use

Service Management as a Strategic Asset

The use of ITIL to transform service management capabilities into strategic assets SM used to provide the basis for core competency, distinctive performance and durable advantage from resources and capabilities.

Resources

Direct inputs for production, an organization assets Ex. Financial Capital, infrastructure, applications, information, people.

Capabilities

An organizations ability to coordinate, control and deploy resources to produce value. Ex. Management, organization, processes, knowledge, people

Define the

Evaluate the services you could potentially offer, and who you may be able to offer them to.

Market

Develop the

Continue to formulate the services you think it will be worthwhile pursuing Utility and Warranty are considered at this stage.

Offerings

Develop

Look for opportunities to exploit your services and capabilities (to allow more services for the customers) Develop Service Management so that it becomes a strategic asset

Strategic Assets Execution

Prepare for

Take all the necessary steps to ensure that we are ready to go ahead and it is worthwhile doing so.

An organization supplying services to one or more internal customers or external customers.

Type 1

Internal Embedded in the business unit it serves

Type 2

Shared Provide services to multiple business units

Type 3

External Provides services to many customers

Graphical representation of the components that make up a service Documents workflow and dependencies

SOURCE: http://www.serenesoftware.com/

1.Demand Management 2.Service Portfolio Management 3.Financial Management

Understand customer requirements for services and how these vary over the business cycle
Ensure the provision of appropriate levels of service By varying provision or influencing customer demand Ensure that the Warranty and Utility we offer matches the customer needs

Pattern of Business Activity (PBA)

Workload profile of one or more business activities Varies overtime Represents changing business demands Attributes: Frequency, Volume, Location, Duration

User Profile

Pattern of user demand for IT Services Each user profile includes one or more PBAs Examples of UPs: People, Functions, Processes,Applications

Service Package
Detailed description of a service Includes a service level package and one or more core services and supporting services

Service Level Package

Defined level of utility and warranty for a particular service package Designed to meet the needs of a PBA.
EXAMPLE: Gold, Silver or Bronze Service.

Core Service
An IT Service that delivers outcomes desired by one or more customers

Supporting Service
A service that enables or enhances a core service.
EXAMPLE: A directory service or a backup service.

Decide what services to offer

Understand
Why should customers buy these services? Why should they buy these services from us?

Provide direction to Service Design

So they can manage and fully exploit the services into the future.

Business Service IT Service

A service that directly supports a business process.

A service that the business does not think of in business context or semantics.

Business Service Management

Considering service management in terms of business processes and business value

Part of the Service Portfolio Services available for deployment or use

Information to be shared with customers

Business Service Catalogue Services of interest to customers Technical Service Catalogue Underpinning services of interest to IT

Financial visibility and accountability Financial compliance and control Understand cost of providing services Understand value from using services customers get

Enhanced decision making across the complete service lifecycle

Services Valuation

Cost of providing service Value to the customers receiving the service

Service Investment Analysis

Understand the total lifecycle value and costs of proposed new services or projects

Accounting

Keeping track of what has been spent, assigned to appropriate categories