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Running IT as a Business: Process Classification Framework IT is one Portion of an Organization APQC PCF ITIL COBIT TOGAF ... configuration process • Knowledge

Mar 11, 2018

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  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

    Running IT as a Business: OverviewMark Bodman

    Enterprise Architect

    V 3.6

  • Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

    2

    A New Style of IT

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.3

    A New Style of IT has emergedBased on Forces Transforming Business today

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.4

    APQC Process Classification Framework

    IT is one Portion of an Organization APQC PCF

    ITILCOBITTOGAFTest ManagementStrategic PlanningProject ManagementDevOpsDevelopmentAgile DevelopmentMonitoringProblem ManagementChange ManagementConfigurationDemand ManagementCapacity ManagementRequirements ManagementDiagnostics

    Event ManagementIncident ManagementBuild ManagementDesign ManagementGRCPolicy ManagementProposal ManagementSLA ManagementDeployment ManagementRelease ManagementCloudMobilSocialFinancial ManagementSaaSPaaSIaaS

    SD*Technology DebtOutsourcingMore with lessMultisourcingUpgradesMTTRLifecycle ManagementFinancial ManagementGRCLicense ManagementSOXPCIDatacenter ConsolidationPerformance Management

    With many concerns to address

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.5

    The journey towards a New Style of ITAn Industry Perspective

    Traditional IT New Style of ITJOURNEY (1-5 Years) Drive efficiencies Run the business; Secure the enterprise Systems of Record

    TTV for LOBs Use Cloud Services; Self-service Experience Systems of Record Fabric

    TTV for Business Lifecycle mgmt defined in apps; Developer Driven Systems of Engagement & Insight

    Basic Automation Advanced Automation Self-Service Service Broker IT as Low-touch Service ProviderIT as a Service Provider

    Process-Centric Insight-CentricService-Centric

    Details of the Journey:

    Roadmap:

    Roadblocks:

    & Cloud& Cloud

    HAVEn

    IT ManagementReference Architecture

    IT ManagementReference Architecture

    HP Solutions

  • Copyright 2012 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

    6

    IT Management Practice

    IT Value Stream & Reference Architecture

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.7

    Designed by IT organizations for IT organizations like you

    IT4IT Consortium - Evolving IT for IT

    IT4IT ConsortiumStrategy/Exec board

    Shell, Achmea, AT&T, Munich RE, PwC, Accenture, HP

    Community Members

    Disney, NBC, Nestle, ING, Barclays, Proctor & Gamble, Paychex, Rabobank, Raiffeisen, AkzoNobel,

    Efficiency

    &

    AgilityFinance & assets

    Intelligence & reporting

    Resource & project

    Governance, risk and compliance

    Sourcing & vendor

    IT V

    alu

    e Ch

    ain

    Plan Build Deliver Run

    Reference Architecture

    This work is based upon material developed and published by the IT4IT Consortium

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.8

    Applying business concepts to understand IT as a business vs. cost center

    Business Point of View: Value Chains and Streams

    Order to Cash

    Quote to Order

    Supply Chain

    Product to Market

    Idea to Product

    Manufacturing to Distribution

    Value Chains Porter

    Competitive Analysis Strategic Concepts Value Creation Activity cost to profit margin analysis

    Value Streams Martin

    Lean / 6-sigma concepts Multi-Process Oriented Customer focused results

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.9

    New Viewpoint How to operate IT, continuouslyThe Vision: Create Integrated IT management capabilities across the entire service lifecycle

    Plan Build Deliver Run

    Reference Architecture

    IT Value Streams

    Strategy toPortfolio Requirement

    to Deploy

    Request toFulfill Detect to

    Correct

    Traditional IT Value Chain

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.10

    IT Operating Model: Value Chains & Reference Architecture

    Monitor & change Optimize portfolios Communicate value Evaluate benefit

    realization

    Demand Consolidate demand Create business cases Business value, risk,

    costs, benefits & resources

    Strategy Define objectives Financial planning Set up policies and

    guidelines Enterprise architecture

    What-if-analysis Rationalize portfolio Ensure governance Allocate resources, fund

    and charter projects

    Selection

    Strategy to Portfolio

    KPIs: IT Service Value IT Service Gap

    Deploy Release plan Deployment assets Change and

    configuration process Knowledge

    management App monitoring

    Develop Technical policy Development (Agile,

    iterative, waterfall) Source & set up dev

    environment

    Requirements

    Business process model

    User experience Functional & technical

    Functional: desktop, web, mobile

    Performance: desktop, web, mobile

    Security: static, dynamic

    Test

    Requirement to Deploy

    KPIs: R2D Cycle Time Requirements Churn Production Defects

    Measure & charge Chargeback /

    showback Cost transparency Influence demand Surveys and ratings

    Order a service Portal / IT engagement Personalized experience Self-service

    Define & publish Repeatable service Standardization Alignment with business

    objectives

    Integrate with incident, change, asset & demand

    Automate provisioning & status update

    Route & fulfill

    Request to Fulfill

    KPIs: Cycle Time Cost/Service

    Resolve Implement change Verify recovery Close records

    Diagnose Root cause Severity & business

    impact Define escalation path Auto-fix common

    issues

    Detect Events, alarms &

    metrics from everything User issues Relationship among

    events

    Change request Risk analysis Approvals

    Change

    Detect to Correct

    KPIs: MTTR MTBF

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.11

    Without service backbone, its impossible to create value and measure outcomes

    Service Lifecycle: The Value Chain Back Bone

    Strategy toPortfolio Requirement

    to Deploy

    Request toFulfill Detect to

    Correct

    Conceptual Model Physical Model

    Drive Value Creation

    Traceability, Insight and Measurement

    Logical Model

    Service Catalog

    Entry

    Logical Service

    Blueprint Service Release

    Service Release

    Blueprint

    Service

    BlueprintActual Service

    (CI)

    Desired Service

    (CI)

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.12

    Start with IT management use cases to build the proper business model

    Our Approach to a Comprehensive Architecture

    Functional Model

    What IT does, not howBased on use case, best practice, and standards

    Lifecycle

    Model

    Service Lifecycle with continuous Assessment, Integration, Delivery, and Operations

    Information Model

    Identify key controlling IT artifacts.Definition of artifacts lifecycles according to lifecycle model.

    Integration Foundation

    Key integrations, based on artifactsLink Information model with Lifecycle model. Foundational Integration Layer (key control points)

    Common Data/Information Model

    Common Lifecycle Model

    Functional Model

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.13

    Test Mgmt.

    Release Mgmt.

    Project Delivery mgmt.

    Service Monitoring

    Prob Mgmt.

    Configuration Mgmt.

    Event Mgmt.

    Incident Mgmt.

    Billing/Chargeback

    Subscription Mgmt.

    Request & Routing Mgmt.

    UsageMgmt.

    Catalog Mgmt.

    Change Mgmt.

    Deployment Mgmt.

    Service Development

    Mgmt.

    Defect Mgmt.RequirementMgmt.

    Service Design Mgmt.

    Policy Mgmt.

    Demand Mgmt.

    Proposal Mgmt.(Investment)

    Service PortfolioMgmt.

    Business Architecture

    Reference Architecture An IT Functional Model

    Diagnostic Remediation

    Build Mgmt.

    IT Architecture Mgmt.

    Requirementto Deploy

  • Copyright 2014 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.14

    RequirementMgmt.

    Test Mgmt.

    Release Mgmt.

    Project Delivery mgmt.

    Service Monitoring

    Prob Mgmt.

    Configuration Mgmt.

    Event Mgmt.

    Incident Mgmt.

    Billing/Chargeback

    Subscription Mgmt.

    Request & Routing Mgmt.

    UsageMgmt.

    Catalog Mgmt.

    Change Mgmt.

    Deployment Mgmt.

    Service Development

    Mgmt.

    Defect Mgmt.

    Serv

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