IBM Global Services

1. IBM Global Services Information Technology Infrastructure Library ITIL Overview Terence Okus, IBM Corporation 2007

2. IBM Global Services Agenda Introduction of the ITIL Library ™ What is ITIL ™ Why is ITIL such a success? ™ What are the benefits? ™ Where to get more information ITIL Overview Page 2

3. IBM Global Services What is ITIL? ‰ ITIL stands for IT Infrastructure Library ‰ Public domain framework of IT management best practices originating from the UK government in the late 1980’s (The “OGC” is the Office of Government Commerce) ‰ Further developed by incorporating public and private sector “best practices” (IBM made significant contributions) ‰ ITIL is a library of books that document industry accepted best practices for IT Service, Infrastructure and Application Management (considered a de facto standard in the area of Service Management) ‰ ITIL is an excellent starting point from which to adopt and adapt best practices for implementation in a unique environment ITIL Overview Page 3

4. IBM Global Services ITIL Implementation: Adopt and Adapt ‰ ITIL describes what needs to be done but not how it should be done. ‰ ITIL does not define: ™ Every role, job or organization design ™ Every tool, every tool requirement, every required customization ™ Every process, procedure and task required to implement ‰ ITIL does not claim to be a comprehensive description of everything within IT, but IT management “best practices” observed and accepted in the industry. ‰ Adopt ITIL as a common language and reference point for IT Service Management best practices and key concepts. ‰ Adapt ITIL best practices to achieve business objectives specific to each company. ITIL Overview Page 4

5. IBM Global Services It all began with the most common questions asked by IT managers worldwide: How do I align IT services with business objectives? How do I lower the long term costs of IT services? How do I improve the quality of IT services? ITIL Overview Page 5

6. IBM Global Services Genesis: “In the beginning…” ‰ The British government asked the CCTA to structure the IT organizations of the British government agencies according to industry best practices ‰ They commissioned a study to find out “what is the best way to align IT with business objectives, lower costs and improve quality ‰ The results of the study were published as a library of books entitled the Information Technology Infrastructure Library ‰ itSMF was born as a user group focused on best practices in IT management centered on ITIL ITIL Overview Page 6

7. IBM Global Services The library of books describe best practices in IT management They provide: ™ Guidance to align IT services with the requirements of the business ™ A common language for IT and the business ™ A framework, not a methodology ™ A vendor neutral set of best practices ™ Guidance, not a step by step how-to for an organization to implement IT Management processes More than just a process model: ™ Guidance on planning and implementation ™ Suggested staff, role and skill requirements ™ Suggested education and training ™ Descriptions of tools features ™ Example policies and procedures ITIL Overview Page 7

8. IBM Global Services ITIL defines a three tiered structure of Certification training Practitioners (9 certificates) Change Manager (5 days) Foundations Service Level Manager (5 days) Essential (2 days) 1 hour Multiple choice 1 hour Multiple choice (Know list of Basic Concepts) Prerequisites form assessed by Examination Board Service Support (5 days) In course assessment 3 hour examination (essay form) Service Delivery (5 days) 3 hour examination (essay form) Service Manager ITIL Overview Page 8

9. IBM Global Services The itSMF is a world wide user group with branches in several countries and proactively encourages knowledge sharing among its members Workgroups to enhance and develop Seminars and new insights workshops http://www.itsmf.com/ Awareness campaigns Magazines and book reviews ITIL Overview Page 9

10. IBM Global Services Many of the books have been revised in the last 3 years. Version 2 of the the ITIL framework consists of a series of books that document industry best practices in IT Services management. Planning to implement service management Service management The ICT Service support business Infrastructure perspective management Service delivery Security management Application management ITIL Overview Page 10

11. IBM Global Services Most people think of ITIL as Service Support, but the increasing popularity of ITIL should be leveraged against a broader spectrum of services • Service Desk • Service Level Management • Configuration Management • Availability Management • Incident Management • Capacity Management • Problem Management • Financial Management for IT Services • Change Management • IT Services Continuity Management • Release Management Planning to implement service management • Not Published • Design and Plan (4/2004) • Deployment • Draft being Service management • Operations reviewed • Technical Support (IBM’ers on The ICT Service support review team) business Infrastructure perspective management • IT Infrastructure Security Service delivery Management Security • Security setup from the IT management Software Asset Management manager's point of view Application management • Manage the Business Value • What is the vision? • Align Service Delivery with Business Strategy • Organization & Roles • Where are we now? • Process Overview • Drivers and Organizational Capability • Where do we want to be? • Tools & Technology • Application Lifecycle Management • How do we check our milestones? • Partners and SAM • Organization Roles and Functions • How do we keep momentum? • Control Methods and Techniques ITIL Overview Page 11

12. IBM Global Services Service Support Service Delivery Concerned with ensuring that the Determines what service the Customer has access to the business requires of the provider in appropriate services to support order to provide adequate support the business functions. to the business Users. • Service Desk y Service Level Management (a function, or department) y Availability Management y Incident Management y Capacity Management y Problem Management y IT Service Continuity Management y Change Management y Financial Management for IT y Release Management Services y Configuration Management Service Support is the most widely used book because it addresses the improvement of service operations. ITIL Overview Page 12

13. IBM Global Services Service Management focuses on the operational and tactical processes required to support and deliver any IT service Service Management Resolve Service Delivery Service Support incidents as they occur Incident Identify root Availability causes of incidents Single Point of and submit RfC’s Problem Contact for to remove them Capacity users of IT Change Services Ensure standard ITSCM Release methods and Manage major Define what procedures are hardware and services and FMITS Config used from the software releases as service levels RfC to the PIR part of effective will be change management supported and Ensure agreed to services can delivered recover after a disruption as a Manage technical part of business continuity information regarding the management Ensure the greed version, status, services are ownership and available at agreed relationships among IT levels assets. Budget, account and optionally charge for IT services Ensure agreed services have the required and agreed to capacity ITIL Overview Page 13

14. IBM Global Services Service management is divided between Service Support … Five operational processes and The business, customers and users one function / department Incidents Communications Management Queries Updates tools Enquiries Workarounds Service Incident Incidents desk Incidents management Customer Changes Survey Problem reports Service reports management Incident statistics Release Audit reports Change Problem statistics management Trend analysis Problem reports Change schedule Problem review Release CAB minutes Diagnostic aids management Change statistics Audit reports Change reviews Release schedule Audit reports Configuration Release statistics CMDB reports management Release reviews CMDB statistics Secure library Policy standards Testing standards Audit reports Audit reports Problems CI’s Incidents Changes Releases Known errors Relationships Page 14 Configurati on management database

15. IBM Global Services …and Service Delivery Five tactical processes The business, customers and users Availability Communications Queries Updates management Enquiries Reports Service level Capacity Availability plan management management AMDB Design criteria Requirements Targets/thresholds SLAs, SLRs, OLAs Targets Reports Service reports Financial Achievements Capacity plan Audit reports Service catalogue CDB management for SIP Targets/thresholds IT services Exception reports Capacity reports Audit reports Schedules Audit reports Financial plan Types and models Costs and charges Reports IT service IT continuity plans Budgets and forecasts BIA and risk analysis continuity Audit reports Requirement definition management Control centres System Alerts and DB contracts Management Exceptions Reports tools Changes Audit reports ITIL Overview Page 15

16. IBM Global Services Important Concepts - Service Support Configuration Management • Single Point of •Hardware Configuration Contact for •Software I m users of IT •Related documentation Services •Relationships between CIs Service Desk •Managed Elements of a service •CMDB Change Release I nt Problem • Proactive • Any change to a CI • Incidents • Large or bundled • Root cause of • “standard” or • Reactive changes planned, related incidents preapproved • Service Requests designed, built and • When understood, changes tested together becomes a Known • CAB • Subject to change Error management Incident Problem Change Release Management Management Management Management ITIL Overview Page 16

17. IBM Global Services Important Concepts - Service Delivery Availability •Reliability Capacity •Maintainability •Serviceability •Business capacity •Reliability •Service capacity Service •Resilience •Resource capacity • Service catalog IT Customer • SLA’s • OLA’s & UC’s • SLAM Continuity Service Level F ance Management • Business continuity • Threats • Budgeting • Vulnerabilities • Accounting • Risks • Charging ITIL Overview Page 17

18. IBM Global Services Relationships Between ITIL Components application Service Level reqts Application Service Delivery Agreements Management new services, current service Manage the levels portfolio service changes service level targets ICT Service Support Infrastructure incidents Management Operational support Plan, build, operate a for services resilient infrastructure ITIL Overview Page 18

19. IBM Global Services What are some of the the best practices? ‰ There are IT Management Best Practices ‰ IT should focus on supporting and delivering services ‰ That in order to support or delivery any IT service, there a defined set of base processes that are required ‰ Implementation or “getting there” requires phases ‰ It is a best practices to have a well managed Service Desk ‰ It is a best practice to have a well defined incident management process “Configuration, change, problem etc” ‰ It is a best practice to have the process requirements determine tool requirements ‰ Processes should be enterprise in scope ‰ Processes should have owners ‰ Process roles should be well defined ‰ Processes should be adhered to ‰ Separation of Incident and problem processes and resources ITIL Overview Page 19

20. IBM Global Services Why is ITIL Important? Key ITIL Benefits: Infrastructure • Redirected Support Costs Infrastructure • Improve Customer Service Current Current • Lower TCO Portfolio $ Portfolio • Improve Predictability of IT Costs and Chargebacks New • Facilitates Outtasking / New Development Outsourcing Operations Development Need for an IT Management Process ™ Connect all the pieces of systems management ™ Mature into service management Current Infrastructure Optimized Infrastructure Represents best practices in the industry Vendor neutral Consistent concepts and terminology ITIL services are the key to understanding how well IT is being utilized and the extent to which the IT function is meeting its service level commitments. ITIL Overview Page 20

21. IBM Global Services Outside specialists are key to the success of ITIL projects by overcoming the typical causes of failure and reduced ROI ‰Meta Group Research on self implementation of ITIL has shown that: ™ Most IT operational groups already have large lists of improvement activities ™ Such groups are already resource-constrained ™ Traditionally, when process development activities were initiated, they were done as "the right thing to do", but with insufficient regard for resource management, ownership levels and ROI expectations ‰Although many process improvement activities realize some improvement goals (e.g., the development of a change advisory board), more than 70% of process improvement activities do not yield a definable ROI, with 30%+ never reaching formal completion. ‰Meta Group estimates that self implementation of ITIL best practices may cost 55% more than anticipated due to inefficiencies brought on by inexperience ™ Recent reports from Remedy and other industry sources have shown that some process implementation projects have taken as long as 4 years. ™ Implementation best practices dictate using a proven method with experienced method practitioners ‰Companies that have attempted to implement ITIL have experienced ROI that has ranged from saving 10-40% of the yearly infrastructure costs to having the entire effort produce nothing tangible at all but turn into low level tactical projects with no discernable strategic value. Expert advice from experienced consultants can help avoid the common causes of ROI dilution. ITIL Overview Page 21

22. IBM Global Services Who needs ITIL? ‰ Desire to align IT with business objectives ‰ Desire to lower the long term costs of IT Service Provision ‰ Desire to improve the quality of IT Services ‰ New business application ‰ New or change to services ‰ New or changes to organization ‰ New or changes to processes ‰ New or changes to Infrastructure ‰ New or changes to a tool suite ITIL Overview Page 22

23. IBM Global Services Keys to successful Implementations ‰ Structured Implementation Method to avoid mistakes, rework and re-direction ‰ Focus on business objective - accomplishing something with ITIL rather than “ITIL for ITIL’s sake” ‰ Implementation focus clarity: service, infrastructure, process or organization ‰ Maturity Assessment and clearly defined practical objectives ‰ Avoid “Boil the ocean” approaches ‰ Governance Model ‰ Guiding Principles ‰ Phased Implementation ITIL Overview Page 23

24. IBM Global Services Knowing best practices does not tell you how to implement best practices ‰ According to Gartner Group 70% of systems management technology implementations fail due to neglect of process and organization considerations. (Gartner) ‰ A major reason for the failure of these ESM deployments is the lack of well defined processes within the IT operations group for basic management disciplines such as problem, asset, configuration, change, capacity and service-level management. (Gartner) Six Sigma and Design for Six Sigma are methods for designing manufacturing and service- related processes. These methods are typically used in ‰ The actual benefits of a tool implementation depend improvement projects and other tactical improvement efforts on the degree of success in re-engineering its processes. Bottom Line: Research indicates that 70 ESMDD percent of the ROI derives from process IBM’s Enterprise Systems Management Design and Implementation Methodology improvements rather than tools. (Gartner) IT Process Model covering macro design, micro design, development and pilot of Satisfy Customer IT Services or Processes based Relation- on ITPM and ITIL Best Practices ships Support IT Manage IT Services and Business Solutions Value Deploy TIL ITIL S SEI CMMI E I CMM EI CMM Solutions A.D.E. Reference: Meta Group SMS115, SMS 1103, SSMS 13 Aug 98.721 Addendum, File 721, Gartner SPA-03-5362 ITIL Overview Page 24

25. IBM Global Services If you are interested to find out more about ITIL, here are some helpful references OGC - The Office of Government Commerce (includes CCTA) y http://www.itil.co.uk/ y http://www.ccta.gov.uk/ IT Service Management Forum y http://www.itsmf.com/ y Htt://www.itsmf.net/ y http://www.itsmf.ca/ Tools to manage y http://www.tools2manage-it.com/ The examination bodies y Canada: http://www.loyalistc.on.ca/ y Netherlands: http://www.exin.nl/ y England: http://www.bcs.org.uk/iseb/ism2.htm For all your ITIL education y http://www.ibm.com/services/learning/ca ITIL Overview Page 25