May 9, 2007 - ITIL Implementation Best Practices Presentation

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– Dee Smith,

DTS Project Management Office Manager

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Today’s Agenda

WelcomeDee SmithManager, DTS Project Management Office

Practical Advice to Successfully Implementing ITIL Best Practices

Ed HolubResearch Vice President,IT Operations Management,Gartner

Implementing ITSM at DTSDee SmithManager, DTS Project Management Office

Practical Advice to Successfully Implementing ITIL Best Practices

Ed HolubResearch Vice President,

IT Operations Management

Hype Surrounding ITIL

ITIL makes the business love the IT group!

ITIL is easy! Buy our tool and have ITIL! Everybody is doing it …

What's next …– ITIL cures cancer!

– ITIL solves world hunger!

Technology Trigger

Peak ofInflated

Expectations

Trough of Disillusionment Slope of Enlightenment

Plateau of Productivit

y

time

visibility

ITIL 2005

ITIL 2012

ITIL 2006

ITIL 2008

ITIL 2010

IT Operations Management Hype Cycle

Key Issues

1.What is ITIL and how can it serve as a guide to transforming operations?

2.What pitfalls should be avoided whenimplementing ITIL?

3.What are the critical success factors and practical methods to maximize return on investment?

Key Issues




Positioning the Frameworks

Level of Abstraction HighLow

ITRelevance

Holistic

Specific

TCO

ITIL CMMI

CobiT

Six Sigma

ISO 9000

National Awards(e.g., Baldrige)

People CMM

Scorecards

ISO 20000

CMM =capability maturity model

CobiT =Control Objectives for Information and Related Technology

ITIL =IT Infrastructure Library

TCO =total cost of ownership

IS0 20000 = IT service mgt standard

ISO 9000 = quality mgt standard

Point solutions are useful, but a broader, holistic approach to process and quality

improvement is POWERFUL.

0% 20% 40% 60%

"Completed" adoption

Implementing 2+ years

Implementing 0-2 years

Plan to start in next 18 months

No plans at this time

2006

Polling Results – ITIL Adoption

Source: Audience polling survey at 2006 Gartner Data Center conference in November 2006 (n=171)

Process Framework — ITIL

ITIL is a best-practice process framework.– Service delivery

– Service support

– Others (application management, security management)

Initiated by the U.K.'s government Central Computing and Telecommunication Agency (CCTA). CCTA is merged into the Office of Government Commerce.

Shows the goals, general activities, inputs and outputs of the various processes.

Does not "cast in stone" every action you should do on a day-to-day basis.

ITIL Refresh or "Version 3" is in development.

0% 20% 40% 60%

Aware, but no immediate plansto adopt

Plan to adopt V3, but notslowing down in meantime

Slowing down until V3 isavailable

Previously unaware of V3

We have no ITIL plans

2006

Polling Results – Impact of ITIL Version 3


ITIL: The Good and the Bad

Service Delivery:

– Service-level management

– Financial management

– Capacity management

– IT service continuity

– Availability management

Service Support:

– Incident management

– Problem management

– Change management

– Configuration management

– Release management

Service Desk

Core Benefits: Standard process language

Emphasis on process vs. technology

Process integration

Standardization enables cost and quality improvements

Focus on customer

Limitations:

– Not a process improvement methodology

– Specifies "what" but not "how"

– Doesn't cover all processes

– Doesn't cover organization issues

– Hype driving unrealistic expectations

0% 20% 40% 60%

Improve quality of service

Lower cost of deliveringservice

Improve agility to respond tobusiness requirements

Address compliance or riskissues

None of the above

2006

Polling Results – Primary Driver for ITIL


0% 20% 40% 60%

Lack of guidance onorganization and roles

Process definitions too highlevel to implement

Requires too much change inculture

Cannot justify ROI

Too much focus on tools inyour organization

Lack of experienced ITILconsultants

2006

Polling Results – Biggest Hurdle Implementing ITIL


Key Issues




More Process Refinement Initiatives Fail Due to Ineffective Governance than Due to Bad Designs

Stakeholders

IT operations and production engineering

Architecture and standards IT controller IT service desk Security and compliance Business applications

Steering Committee Responsibilities

Service management vision Project management

and process prioritization Funding and infrastructure

investment Technical architecture Standards, tools and

vendor criteria Measurement criteria Reporting to management

Trying to Run Before Walking

Reactive

Proactive Analyze trends Set thresholds Predict problems Measure appli-

cation availability Automate Mature problem,

configuration, change, asset and performance mgt processes

Fight fires Inventory Desktop SW

distribution Initiate

problem mgt process

Alert and event mgt

Measure component availability (up/down)

IT as a service provider

Define services, classes, pricing

Understand costs Guarantee SLAs Measure & report

service availability Integrate processes Capacity mgt

Service

Value IT as strategic

business partner IT and business

metric linkage IT/business

collaboration improves business process

Real-time infrastructure

Business planning

Level 1

Level 2

Level 3

Chaotic Ad hoc Undocumented Unpredictable Multiple help

desks Minimal IT

operations User call

notification

Level 0

Tool Leverage

Manage IT as a Business

Service Delivery Process Engineering

Operational Process Engineering

Service and Account Management

Level 4

Assuming Tools Will Solve Your Problems

Be wary of vendor hype Focus on process first Tools can be enablers or inhibitors Assess capabilities of your

current tools Review new tools where they

would pay significant dividends Buy what you need, as you need it

"Man is a tool-using animal. Nowhere do you find him without tools; without tools he is nothing, with tools he is all." – Thomas Carlyle

Confusing the 'Means' With the 'End'

This Is Not the Goal!

ITIL

Six Sigma

CMM-IMalcolm Baldrige

"Certification"

Etc.

Certification Does Not Guarantee Good Outcomes!

Beware of Process for Its Own Sake!

Process Improvement Is About Better Outcomes and Experiences for Customers

Key Issues




Keep Focus Narrow and Deliver Benefits

Determine Where to Start Not necessarily on the least mature processes 80 percent of clients start on core service support processes like change, incident

and problem management Configuration management is a steeper challenge Service-level management is often first of service delivery processes

Deliver Benefits Quickly to Address "Pain Points" Examples: Reduce percentage of changes causing incidents, improve MTTR Builds momentum

Take an Iterative Approach Design 80 percent solutions and plan to improve later Channel benefits to "self-fund" the next phase Periodically reassess priorities

Build Top-Down and Grass-Roots Support

Tailor messages for stakeholder groups Reward process victories vs. traditional hero behavior

Emphasize "WIIFM"

Treat as an Organizational Change Initiative

Communicate Frequently and Consistently

CIO or Head of Infrastructure and Operations must be visible champion

ITIL is much more about people than technology Change culture to embrace standardization vs. unique

solutions Don't ignore the aspects of people change and simply

concentrate on process and tools

Clearly articulate underlying goals and objectives Report on progress – macro and micro

Take a Structured and Holistic Approachto Process Refinement

Structure ProgramWhat is the Governance Structure?What pain points are addressed?

Measurement and GovernanceHow will you know when you achieve the desired maturity?

How will you market and communicate the program value and progress?

Task-Level Process Detail

InformationRequirements

AutomationDetail = Reference Material

= Detail Design

= Implementation

Adopt Process Taxonomy

Common and consistent language!Better alignment of expectations!

Adopt Process Reference Architecture

Define a conceptual, integrated target state!Clean-sheet design concept!

Develop Process Baseline(s)How do the current processes perform?Identify key gaps against best practice!

Develop Transition Approach and Plan

How should the target state be implemented?Knowledge transfer and training!

Build Technical IntegrationFramework

What standards and protocols should be used?How should new automation be assimilated?

Implement and ManageImplement the target state!

Operate and manage new processes!

Build Process Logical ArchitecturesDefine the target state detail for each process!

Leverage Process Integration Comprehensive monitoring Iteratively tune thresholds Filter out noise Train operations center staff Automate on call staff notification

Perform parallel investigation Designate senior technical leaders Utilize problem isolation tools Prioritize effort based on criticality

Dedicate staff to problem management Conduct quick review on all problems Perform in-depth postmortem on

significant problems Identify root cause risk areas Identify action items and track

to completion Maintain an Availability Hit List

AvailabilityManagement

Smell the smoke

ProblemManagement

Fireproofing

Incident Management

Firefighting

Take action to prevent future

problems

Discover anomalies as soon

as possible, preferably before customer impact

Resolve incidents as quickly as

possible

1

2

3

Use Metrics to Drive Behavior andMeasure Progress

People inherently want to do a good job What gets measured gets attention What doesn't get measured drops off the radar People will take action to move a metric in a

positive direction– People will do "dumb" things

– People will stop doing "smart" things

Focus on analysis and action vs. reporting– Select a few key metrics instead of many

– Measure what will help you improve, not what's easy to measure

– Create "tiers" of metrics tailored to different audiences

Effectively Staff Crucial Roles

Designate individuals as process owners

Assign (virtual) teams of subject matter experts

Utilize program or project managers Desirable characteristics for team

members

– Credibility

– Communication skills

– Process and customer focus

– Ability to deal with ambiguity

– Commitment to the cause

People will make or break your ITIL initiative

0% 10% 20% 30% 40%

Full time positions

Part-time role by seniormanagement

Part-time by first levelmanagers

Part-time by individualcontributors

No one assigned processownership role

2006

Polling Results – Implementing Process Owners


Leverage External Resources

Formal training– Foundation certification

– Practitioner certification

– Manager/Master certification

– Overview exposure methods

Sharing lessons learned– Vendors, Gartner, Peers, itSMF

Consulting assistance– Assessment, planning, implementation assistance

Don't reinvent the wheel, learn from others!

Key to Success

Comprehensive Approach to Improvement

Six σ

IT Operational Processes — ITIL

App. Development Processes — CMM, CMMI, ASL

Project Management Processes — PMI

1. Establish the Work

2. Align Roles With Work RACIRACI

3. Identify Appropriate Measures

4. Apply Governance

CobiT

Recommendations

Keep the scope narrow enough to deliver tangible benefits before losing momentum.

Demonstrate senior management commitment repeatedlyto inspire grass-roots support.

Remember that ITIL is an organizational change initiative.

Look for "best of fit" process modifications.

Tools are not a substitute for good process.

Set attainable process improvement measurement targets.

Maintain awareness that process improvement is ameans to an end.

Implementing ITSM at DTS

Dee Smith,DTS Project Management Office Manager

ITIL Best Practices Technology Day May 9, 2007

Implementing ITSM at DTS

• Our approach

• Current efforts

Approach

• Why we are embracing ITSM– Serve our customers more efficiently and

effectively– Position DTS to take on new services– Prepare DTS to manage services across two

data centers

Approach

• Leverage experience/expertise of others

• Change to an IT service culture

• Internalize incremental changes

Approach

• Build an ITSM foundation core– Tendency to look at a single ITIL process– Keep in mind the linkages between processes

Approach

• Take actions to address specific organizational issues– Completed ITIL Foundations training– Began the “change the language” campaign– Established the Service Desk function – Developed first version of a service level

agreement – Conducted assessments

Current Efforts

• Developing a Service Catalog – 1st version targeted for publication on DTS website June 30, 2007

• Revising service support processes to better align with ITIL best practices

• Upgrading to Remedy 7™ which supports Incident, Problem, Change and Asset Management targeted for 3rd quarter 2007

Current Efforts

• Defining Service Request Management process to replace our current SR system

• Procuring consulting services– To support refinement of implementation

roadmap– To raise the maturity of other processes

How is DTS Implementing ITSM?

• With multiple projects following project management practices

• With Executive sponsorship

• With stakeholder involvement

• With some communication and a lot more to come

• With feedback and course adjustments

Questions?

THANK YOU

• Please complete your surveys and hand them in to DTS Event Staff.

• Claim your PDUs under Category 4 at: http://www.pmi.org/info/PDC_Cert_CCR_Qualfy_Act.asp

• Please look for future DTS Events at:http://www.dts.ca.gov/calendar






May 9, 2007 - ITIL Implementation Best Practices Presentation

Business

audience polling survey

critical success factors

target state

implementing itsm

dee smith

service desk

service delivery

level management