LECTURE 2 ITILv3 Introduction and Overview SERVICE Strategy SERVICE Design.

LECTURE 2LECTURE 2

ITILv3 Introduction and OverviewITILv3 Introduction and Overview SERVICE StrategySERVICE Strategy SERVICE DesignSERVICE Design

Introduction & OverviewIntroduction & Overview

What is ITIL?What is ITIL? What about v3?What about v3? Key ConceptsKey Concepts Service Management & Delivery Service Management & Delivery The Five Stages of the lifecycleThe Five Stages of the lifecycle ITIL RolesITIL Roles Functions and ProcessesFunctions and Processes

What is ITIL?What is ITIL? SystematicSystematic approach to high quality approach to high quality

IT service deliveryIT service delivery DocumentedDocumented best practice for IT best practice for IT

Service ManagementService Management Provides common language with Provides common language with well-well-

defined termsdefined terms Developed in 1980s by what is now Developed in 1980s by what is now

The Office of Government CommerceThe Office of Government Commerce

What about v3?What about v3? ITIL started in 80s. ITIL started in 80s.

40 publications!40 publications! v2 came along in 2000-2002v2 came along in 2000-2002

Still Large and complexStill Large and complex 8 Books8 Books Talks about what you should doTalks about what you should do

v3 in 2007v3 in 2007 Much simplified and rationalised to 5 booksMuch simplified and rationalised to 5 books Much clearer guidance on how to provide serviceMuch clearer guidance on how to provide service Easier, more modular accreditation pathsEasier, more modular accreditation paths Keeps tactical and operational guidanceKeeps tactical and operational guidance Gives more prominence to strategic ITIL guidance relevant to Gives more prominence to strategic ITIL guidance relevant to

senior staffsenior staff Aligned with ISO20000 (1st international standard for IT Aligned with ISO20000 (1st international standard for IT

service management, mostly based on ITIL – 2005)service management, mostly based on ITIL – 2005)

Key Concepts (1/4)Key Concepts (1/4)

ServiceService Delivers value to customer by facilitating Delivers value to customer by facilitating

outcomes customers want to achieve outcomes customers want to achieve without ownership of the specific costs and without ownership of the specific costs and risksrisks

e.g. a “backup service” means that you e.g. a “backup service” means that you don’t have to care about how much tapes, don’t have to care about how much tapes, disks or robots cost and you don’t have to disks or robots cost and you don’t have to worry if one of the staff is off sick or leavesworry if one of the staff is off sick or leaves

Key Concepts (2/4)Key Concepts (2/4) Service LevelService Level

Measured and reported achievement against Measured and reported achievement against one or more service level targets. E.g.:one or more service level targets. E.g.: Red = 1 hour response 24/7Red = 1 hour response 24/7 Amber = 4 hour response 8/5Amber = 4 hour response 8/5 Green = Next business dayGreen = Next business day

Key Performance Indicators (KPIs)Key Performance Indicators (KPIs) Quantifiable measurements that reflect the Quantifiable measurements that reflect the

critical success factors of an organizationcritical success factors of an organization (KPIs (KPIs usually are long-term considerations)usually are long-term considerations)

Service Level Agreement (SLA)Service Level Agreement (SLA) Written and negotiated agreement Written and negotiated agreement between between

Service Provider and CustomerService Provider and Customer documenting documenting agreed service levels and costsagreed service levels and costs

Key Concepts (3/4)Key Concepts (3/4) Configuration Management System (Configuration Management System (CMSCMS))

Tools and databases to manage IT service Tools and databases to manage IT service provider’s configuration dataprovider’s configuration data

Contains Configuration Management Database Contains Configuration Management Database (CMDB)(CMDB) Records hardware, software, documentation and anything Records hardware, software, documentation and anything

else important to IT provisionelse important to IT provision Lot of tools vendors: IBM (Lot of tools vendors: IBM (TivoliTivoli), BMC (), BMC (AtriumAtrium), HP, ), HP,

Microsoft, CA, …Microsoft, CA, … ReleaseRelease

Collection of hardware, software, documentation, Collection of hardware, software, documentation, processes or other things require to implement one processes or other things require to implement one or more approved changes to IT Servicesor more approved changes to IT Services

Key ConceptsKey Concepts

IncidentIncident Unplanned interruption to an IT service or an Unplanned interruption to an IT service or an

unplanned reduction in its qualityunplanned reduction in its quality ProblemProblem

Unknown (… as briefly as possible …) Unknown (… as briefly as possible …) underlying cause of one or more incidentsunderlying cause of one or more incidents

Work-aroundWork-around Reducing or eliminating the impact of an Reducing or eliminating the impact of an

incident without resolving itincident without resolving it

4 4 PP’s of Service ’s of Service ManagementManagement PPeopleeople – skills, training, – skills, training,

communicationcommunication PProcessesrocesses – actions, activities, – actions, activities,

changes, goals, improving pathschanges, goals, improving paths PProductsroducts – tools, monitors, – tools, monitors,

measures, documentsmeasures, documents PPartnersartners – specialist suppliers – specialist suppliers

Service Delivery StrategiesService Delivery StrategiesStrategyStrategy FeaturesFeatures

In-sourcingIn-sourcing All parts internalAll parts internal

Out-sourcingOut-sourcing External resources for specific and External resources for specific and defined areas (e.g. Contract cleaners)defined areas (e.g. Contract cleaners)

Co-SourcingCo-Sourcing Mixture of internal and external Mixture of internal and external resourcesresources

Knowledge Process Outsourcing Knowledge Process Outsourcing (domain-based business expertise)(domain-based business expertise)

Outsourcing of particular processes, Outsourcing of particular processes, with additional expertise from providerwith additional expertise from provider

Application OutsourcingApplication Outsourcing External hosting on shared computers External hosting on shared computers – applications on demand (e.g. Survey – applications on demand (e.g. Survey Monkey, Meet-o-matic)Monkey, Meet-o-matic)

Business Process OutsourcingBusiness Process Outsourcing Outsourcing of specific processes e.g. Outsourcing of specific processes e.g. HR, Library Circulation, PayrollHR, Library Circulation, Payroll

Partnership/Multi-sourcingPartnership/Multi-sourcing Sharing service provision over the Sharing service provision over the lifecycle with two or more lifecycle with two or more organisationsorganisations

Application SW

OS & Middleware

Service Delivery LevelsService Delivery Levels

SaaS SaaS – Software as a – Software as a ServiceService

PaaS PaaS – Platform as a – Platform as a ServiceService

IaaSIaaS – Infrastructures as – Infrastructures as a Servicea Service

HW & Bld Infrastructures

The Service Lifecycle & the The Service Lifecycle & the 5 Lifecycle Stages5 Lifecycle Stages

Processes & FunctionsProcesses & Functions

ProcessProcess Structured Structured set of activitiesset of activities designed to designed to

accomplish a defined objectiveaccomplish a defined objective Inputs & OutputsInputs & Outputs MeasurableMeasurable

FunctionFunction Team or group of Team or group of peoplepeople and and toolstools they they

use to carry out one or more processes or use to carry out one or more processes or activitiesactivities

Own practices and knowledge bodyOwn practices and knowledge body

ITIL Roles (ITIL Roles (OwnerOwner vs. vs. ManagerManager))

Process OwnerProcess Owner Ensures Fit for PurposeEnsures Fit for Purpose

Process ManagerProcess Manager Monitors and Reports on ProcessMonitors and Reports on Process

Service OwnerService Owner Accountable for DeliveryAccountable for Delivery

Service ManagerService Manager Responsible for initiation, transition and Responsible for initiation, transition and

maintenance. Lifecycle!maintenance. Lifecycle!

… … more Rolesmore Roles

Business Relationship Manager (Business Relationship Manager ( 清洁公清洁公司司 نظافة نظافة متعهد (( متعهد

Service Asset & ConfigurationService Asset & Configuration Service Asset (resources) ManagerService Asset (resources) Manager Service Knowledge (capabilities) ManagerService Knowledge (capabilities) Manager Configuration ManagerConfiguration Manager Configuration AnalystConfiguration Analyst Configuration LibrarianConfiguration Librarian CMS tools administratorCMS tools administrator

The 5 Service Lifecycle StagesThe 5 Service Lifecycle Stages

Stage 1 –Stage 1 – Service Service StrategyStrategy

What are we going to provide?What are we going to provide? Can we afford it?Can we afford it? Can we provide enough of it?Can we provide enough of it? How do we gain competitive advantage?How do we gain competitive advantage? PerspectivePerspective

Vision, mission and strategic goalsVision, mission and strategic goals PositionPosition PlanPlan PatternPattern

Must fit organisational cultureMust fit organisational culture

Service Strategy has four Service Strategy has four activitiesactivities

Service AssetsService Assets

ResourcesResources Things you buy or pay forThings you buy or pay for IT Infrastructure, people, moneyIT Infrastructure, people, money Tangible AssetsTangible Assets

CapabilitiesCapabilities Things you growThings you grow Ability to carry out an activityAbility to carry out an activity Intangible assetsIntangible assets Transform resources into ServicesTransform resources into Services

Service Portfolio Service Portfolio ManagementManagement

Prioritises and manages investments and Prioritises and manages investments and resource allocationresource allocation

Proposed services are properly assessedProposed services are properly assessed Business CaseBusiness Case

Existing Services AssessedExisting Services Assessed. Outcomes:. Outcomes: ReplaceReplace RationaliseRationalise RenewRenew RetireRetire

Demand ManagementDemand Management

Ensures we don’t waste money with Ensures we don’t waste money with excess capacityexcess capacity

Ensures we have enough capacity to Ensures we have enough capacity to meet demand at agreed qualitymeet demand at agreed quality

Patterns of Business Activity to be Patterns of Business Activity to be consideredconsidered E.g. Economy 7 electricity, Congestion E.g. Economy 7 electricity, Congestion

Charging, …Charging, …

Stage 2 – Stage 2 – Service DesignService Design

How are we going to provide it?How are we going to provide it? How are we going to build it?How are we going to build it? How are we going to test it?How are we going to test it? How are we going to deploy it?How are we going to deploy it?

Processes in Service Processes in Service DesignDesign

1.1. Service Catalogue ManagementService Catalogue Management

2.2. Service Level ManagementService Level Management

3.3. Capacity ManagementCapacity Management

4.4. Information Security ManagementInformation Security Management

5.5. Availability ManagementAvailability Management

6.6. ITSCM (disaster recovery)ITSCM (disaster recovery)

7.7. Supplier ManagementSupplier Management

P#1 – Service CatalogueP#1 – Service Catalogue

Keeps service information away from business informationProvides accurate and consistent information enabling service-focussed working

P#2 – Service Level ManagementP#2 – Service Level Management Service Level AgreementService Level Agreement ( (SLASLA))

Operational Level AgreementsOperational Level Agreements InternalInternal

Underpinning Contracts (“Underpinning Contracts (“SLAs are for service SLAs are for service management, contract is for the court management, contract is for the court ...”)...”) External OrganisationExternal Organisation Supplier ManagementSupplier Management

Generally an annexe to a contractGenerally an annexe to a contract Should be clear and fair and written in easy-to-Should be clear and fair and written in easy-to-

understand, unambiguous languageunderstand, unambiguous language Success of SLM: Success of SLM: Key Performance Key Performance

IndicatorsIndicators ((KPIsKPIs)) How many services have SLAs?How many services have SLAs? How does the number of breaches of SLA How does the number of breaches of SLA

change over time (we hope it reduces!)?change over time (we hope it reduces!)?

Things you might find in Things you might find in an SLAan SLA

Types of SLATypes of SLA

Service-basedService-based All customers get same deal for same All customers get same deal for same

servicesservices

Customer-basedCustomer-based Different customers get different deal (and Different customers get different deal (and

different cost)different cost)

Multi-levelMulti-level These involve corporate, customer and These involve corporate, customer and

service levels and avoid repetitionservice levels and avoid repetition

SLA, an exampleSLA, an example Online Services AvailabilityOnline Services Availability

Minutes of service unavailability Period 1 definition: MON-FRI 8-18 Period 2 definition: other Observation interval 1 YEAR:

“Inappropriate” SL: more than 523 min/year in period 1, more than 680 in period 2

“Insufficient” SL: more than 756 min/year in period 1, more than 983 in period 2

“Unsuitable” SL: more than 1.047 min/year in period 1, more than 1.361 in period 2

Observation interval 1 MONTH: “Inappropriate” SL: n/a “Insufficient” SL: n/a “Unsuitable” SL: more than 209 min/month in period 1, more

than 272 in period 2

SLA, more examplesSLA, more examples Online Services PerformanceOnline Services Performance

Transactions mean response time ≤ 2,5 sec Maximum percentage of transactions ending in more than 1

sec = 5%

DR ServiceDR Service RTO (Recovery Time Option):

Applications A, B, C, ... restarting in 2 hours after the disaster formal statement

Applications X, Y, Z, ... restarting in 24 hours after the disaster formal statement

RPO (Recovery Point Option): No data loss for applications A, B, C, ... Maximum data loss for applications X, Y, Z, ... updates in the last

hour before the disaster

P#3 – Capacity ManagementP#3 – Capacity Management

Right Capacity, Right Time, Right Capacity, Right Time, Right Cost!Right Cost!

Balances Cost against Balances Cost against Capacity so minimises costs Capacity so minimises costs while maintaining quality of while maintaining quality of serviceservice

P#4 – Information Security ManagementP#4 – Information Security Management

ConfidentialityConfidentiality Making sure only those authorised can see Making sure only those authorised can see

datadata

IntegrityIntegrity Making sure the data is accurate and not Making sure the data is accurate and not

corruptedcorrupted

AvailabilityAvailability Making sure data is supplied when it is Making sure data is supplied when it is

requestedrequested

P#5 – Availability ManagementP#5 – Availability Management

Ensure that IT services are available … Ensure that IT services are available … minimum at the agreed targetsminimum at the agreed targets

Lots of AcronymsLots of Acronyms Mean Time Between Service IncidentsMean Time Between Service Incidents Mean Time Between FailuresMean Time Between Failures Mean Time to Restore ServiceMean Time to Restore Service

Resilience increases availabilityResilience increases availability Service can remain functional even though Service can remain functional even though

one or more of its components have failedone or more of its components have failed

P#6 – ITSP#6 – ITSCCMM

ITIT SService ervice CContinuityontinuity MManagementanagement Ensures resumption of services within Ensures resumption of services within

agreed timescaleagreed timescale Business Impact AnalysisBusiness Impact Analysis informs informs

decisions about resourcesdecisions about resources E.g. Stock Exchange can’t afford 5 minutes E.g. Stock Exchange can’t afford 5 minutes

downtime but 2 hours downtime probably downtime but 2 hours downtime probably wont badly affect a departmental accounts wont badly affect a departmental accounts office or a college bursaryoffice or a college bursary

Standby for liftoff...Standby for liftoff...

ColdCold Accommodation and environment ready but Accommodation and environment ready but

no IT equipment no IT equipment … WEEKS … WEEKS

WarmWarm As cold plus backup IT equipment to receive As cold plus backup IT equipment to receive

data data … 24 … 24 48 HOURS 48 HOURS

HotHot Full duplexing, redundancy and failover Full duplexing, redundancy and failover

… MINUTES … MINUTES COUPLE of HOURS COUPLE of HOURS

… … not to be confused …not to be confused … Availability ManagementAvailability Management

The process that defines SLA on IT Services availability and The process that defines SLA on IT Services availability and provides their complianceprovides their compliance

Continuity ManagementContinuity Management The process by which The process by which PROACTIVEPROACTIVE measures are put in measures are put in

place and managed to ensure that IT Services can continue place and managed to ensure that IT Services can continue shouldshould an incident occur an incident occur

Disaster RecoveryDisaster Recovery A set of A set of REACTIVEREACTIVE processes activated to recover IT processes activated to recover IT

Services Services afterafter a serious incident has occurred a serious incident has occurred

Contingency PlanContingency Plan A set of A set of businessbusiness emergency procedures to be used during emergency procedures to be used during

missing or severe defecting IT Servicesmissing or severe defecting IT Services

P#7 – Supplier ManagementP#7 – Supplier Management

To ensure that all To ensure that all contractscontracts with with supplierssuppliers support the needs of the support the needs of the business, and that all suppliers meet business, and that all suppliers meet their contractual their contractual commitmentscommitments:: Providing the Supplier Management Framework Providing the Supplier Management Framework Evaluation of New Suppliers and Contracts Evaluation of New Suppliers and Contracts Establishing New Suppliers and Contracts Establishing New Suppliers and Contracts Processing of Standard Orders Processing of Standard Orders Supplier and Contract Review Supplier and Contract Review Contract Renewal or Termination Contract Renewal or Termination