ITIL-213 8.03 ENG QA IFO IM - learnit.com Manuals/ITIL-213_8.03_ENG_QA... · Instructor Notes...

Copyright © Quint Wellington Redwood and AXELOS Limited 2011. All rights reserved.

ITIL® Foundation with Case Study (ITIL-213 8.03)

Instructor Manual

Quint Wellington RedwoodD a r e t o C h a l l e n g e

Instructor NotesITIL® Foundation with Case Study (ITIL-213 8.03)


ITIL® Foundation with Case Study Notice

Page 3

ITIL-213_8.03_ENG_ITIL FO

This document contains proprietary information, which is protected by copyright. All rights reserved. No part of this document may be photocopied, reproduced or translated to another language without prior consent from Quint Wellington Redwood, Amstelveen. ©2016: Copyright of Quint Wellington Redwood unless otherwise stated.

Quint Wellington Redwood is accredited for the following AXELOS products.

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COBIT® is a registered trademark of the IT Systems Audit and Control Association (ISACA). Application Services Library ASL® and Business Information Services Library BiSL® are registered trademarks of the ASL BiSL Foundation.PMI®, PMP® and PMBOK® are registered trademarks of the Project Management Institute Inc

Infrastructure Library®, PRINCE2®, MoP®, MSP®, PRINCE2 Agile®, P3O®, M_o_R®, RESILIA™ and the Swirl Logo are [registered] trademarks of AXELOS Limited. These trademarks are used by Quint Wellington Redwood under permission of AXELOS Limited. All rights reserved.

Quint Wellington Redwood is licensed by AXELOS

PRINCE2®, MOP®, MSP®, PRINCE2 Agile®, P3O®, M_o_R® and RESILIA™.

Quint Wellington Redwood is an Accredited Training

Quint Wellington Redwood is a founding member of the LEAN IT Association.

Quint Wellington Redwood is a founding forerunner of the DevOps Agile Skills Association (DASA).

Quint Wellington Redwood is Registered Education Provider (R.E.P.) with PMI. Our courses qualify for Professional Development Units (PDUs).

Material in this document has been sourced from ITIL ® Lifecycle Suite, 2011 edition. No part of this document may be reproduced in any form without the written permission of both Quint Wellington Redwood and AXELOS Limited. Permission can be requested at www.quintgroup.com and [email protected].



ITIL® Foundation with Case Study Table Of Contents

Page 5


Module Title Page

Notice ..................................................................................................................... 3

Online Registration Instructions ...................................................................... 7

PMI Project Management Professionals ........................................................ 9

Agenda and Timetable .....................................................................................11

Agenda Syllabus .................................................................................................13

Introduction ........................................................................................................25

Service Strategy ..................................................................................................77

Service Design ................................................................................................. 115

Service Transition ........................................................................................... 195

Service Operation ........................................................................................... 259

Continual Service Improvement ................................................................. 331

Business Case Study ...................................................................................... 369

Exercise ............................................................................................................. 377

Sample Paper 1 ............................................................................................... 397

Sample Paper 2 ............................................................................................... 425

Glossary ............................................................................................................ 449

Forms ................................................................................................................. 545

Sample Questions with Answers ................................................................ 549

ITIL® Service Lifecycle Overview Poster ..................................................... 551

ITIL® Process Overview Poster .................................................................... 552

1

2

3

4

5

6




ITIL® Foundation with Case Study Online Registration Instructions

Page 7


Go to www.student-registration.com. If you have previously registered, please log into your account using the left area of the screen that says “Login” and register for this course and/or exam using the codes provided to you by your instructor.

If this is your fi rst time registering, please register using the right area of the screen that says “First Time Registration” using the codes provided to you by your instructor.

When you register for the fi rst time, you will have to enter some personal details. This information will be saved for future use and can be edited. Once you have entered all necessary information in this screen, click “Register Now” at the bottom of the page.

Once registered, you can edit your profi le, access your previous courses and/or exams register for a new course and/or exam, and view your previous registrations by entering your login information by using the left area of the screen that says “Login.”

Thank you for registering. Have a great class!




ITIL® Foundation with Case Study PMI Project Management Professionals

Page 9


Attendees of this course earn Professional Development Units (PDUs) granted by the Project Management Institute (PMI®) in order to maintain their status as certifi ed Project Management Professional (PMP).

Please ask your instructor for the applicable Registered Education Provider (R.E.P.) ID and Course code in order to be able to claim your PDUs after completing your course.

If you are interested to learn more about this program, please log on to: http://www.pmi.org/




ITIL® Foundation with Case Study Agenda and Timetable

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TimeDay

1Day

2Day

3 9:00 a.m

Welcome & IntroductionEX 2

Recap Day 1Recap Day 1 & 2

9:15 a.m

Service Design 2EX 3

9:30 a.m

Continual Service Improvement 1

9:45 a.m

10:00 a.m

10:15 a.m

Service Transition 1 10:30 a.m

10:45 a.m

11:00 a.m Break Break Break

11:15 a.m

Service Strategy 1EX 2

Service Transition 2EX 4

Continual Service Improvement 2

11:30 a.m

11:45 a.m

12:00 p.m

12:15 p.m

12:30 p.m

Lunch LunchExtended Programme

Lunch

12:45 p.m

1:00 p.m

1:15 p.m

1:30 p.m

Service Strategy 2EX 3 Service Operations 1 Sample Exam

1:45 p.m

2:00 p.m

2:15 p.m

2:30 p.m

2:45 p.m

3:00 p.m Break Break Break

3:15 p.m

Service Design 1

Service Operations 2EX 5

Evaluation and Closure 3:30 p.m

3:45 p.m

Exam

4:00 p.m

4:15 p.m

4:30 p.mDiscussions, Homework and Revision prep 4:45 p.m

5:00 p.m Course Admininstration




© AXELOS Limited 2013 All rights reserved.

Reproduction of this material requires the permission of AXELOS Limited. The sw irl logo™ is a trade mark of AXELOS Limited ITIL® is a registered trade mark of AXELOS Limited

The ITIL Foundation Certif icate Syllabus v5.5 – January2013 Version 5.5 (Status – Live)

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Document Control Information

Document Details

Document Name The ITIL Foundation Certificate Syllabus v5.5.docx

Purpose of Document To provide a detailed syllabus for the ITIL Foundation Certificate in IT Service Management

Document Version Number 5.5

Document Status Live

Document Owner The Official ITIL Accreditor

Prepared By Examination Panel

Date Approved January 2013

Approved By Chief Examiner

Next Scheduled Review Date

Version History

Version Number Date Approved Change/Reasons for Change/Comments

5.0 01 June 2011 Aligned to the 2011 edition of the ITIL core guidance

5.1 22 June 2011 Updated to reflect additional changes to core guidance

5.2 25 July 2011 Clarified wording of 08-2

5.3 September 2011 Clarified core guidance references in 04-9, 04-10 1st bullet and 05-51

5.4 July 2012 Logo and trade mark statement updates; additional references to fig 2.3 in guidance reference for 01-01 and SS Introduction 1 up to 1.1 in guidance reference for 02-02.

5.5 January 2013 Update to provisions for additional time relating to language



© AXELOS Limited 2013

All rights reserved. Reproduction of this material requires the permission of AXELOS Limited.

The sw irl logo™ is a trade mark of AXELOS Limited ITIL® is a registered trade mark of AXELOS Limited

The ITIL Foundation Certif icate Syllabus v5.5 – January 2013 Version 5.5 (Status – Live) Page 2 of 12

Professional Qualifications for ITIL® PRACTICES FOR SERVICE MANAGEMENT

The ITIL Foundation Certificate in IT Service Management SYLLABUS






The ITIL Foundation Certif icate Syllabus v5.5 – January 2013 Version 5.5 (Status – Live)

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THE ITIL FOUNDATION CERTIFICATE IN IT SERVICE MANAGEMENT

The purpose of the ITIL Foundation certificate in IT Service Management is to certify that the candidate has gained knowledge of the ITIL terminology, structure and basic concepts and has comprehended the core principles of ITIL practices for service management.

The ITIL Foundation certificate in IT Service Management is not intended to enable the holders of the certificate to apply the ITIL practices for service management without further guidance.

Target Group

The target group of the ITIL Foundation certificate in IT Service Management is drawn from:

Individuals who require a basic understanding of the ITIL framework and how it may be used to enhance the quality of IT service management within an organization.

IT professionals that are working within an organization that has adopted and adapted ITIL who need to be informed about and thereafter contribute to an ongoing service improvement programme.

This may include but is not limited to, IT professionals, business managers and business process owners.

Learning Objectives Candidates can expect to gain knowledge and understanding in the following upon successful completion of the education and examination components related to this certification.

Service management as a practice (comprehension) The ITIL service lifecycle (comprehension) Generic concepts and definitions (awareness) Key principles and models (comprehension) Selected processes (awareness) Selected functions (awareness) Selected roles (awareness) Technology and architecture (awareness) Competence and training (awareness)







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Foundation syllabus The syllabus will guide the design, development and use of training materials as well as training aimed at raising individual’s understanding of, and competence in, IT service management as described in the ITIL Service Strategy, ITIL Service Design, ITIL Service Transition, ITIL Service Operation, ITIL Continual Service Improvement, ITIL Introduction and ITIL Glossary publications. The syllabus has been designed with ease of reference, extensibility and ease of maintenance in mind.

Candidates for the ITIL Foundation certificate in IT service management have to complete all units and successfully pass the corresponding examination to achieve certification.

Training providers are free to structure and organize their training in the way they find most appropriate, provided the units below are sufficiently covered. It is strongly recommended that training providers do not structure their courses by simply following the order of the training units as described in this document. It has been designed to be flexible so that training providers can add value as appropriate. The recommended number of study days is 3 when taught in a classroom environment, which can include the final exam.

The units cover the topics listed.

Unit Content ITILFND01 Service management as a practice

The purpose of this unit is to help the candidate to define the concept of a service, and to comprehend and explain the concept of service management as a practice.

Specifically, candidates must be able to:

01-1. Describe the concept of best practices in the public domain (SS 2.1.7, Fig 2.3)

01-2. Describe and explain why ITIL is successful (SS 1.4) 01-3. Define and explain the concept of a service (SS 2.1.1) 01-4. Define and explain the concept of internal and external customers (SS

3.2.1.2) 01-5. Define and explain the concept of internal and external services (SS 3.2.2.3) 01-6. Define and explain the concept of service management (SS 2.1.2) 01-7. Define and explain the concept of IT service management (SS 2.1.3) 01-8. Define and explain the concept of stakeholders in service management (SS

2.1.5) 01-9. Define processes and functions (SS 2.2.2, 2.2.3.1) 01-10. Explain the process model and the characteristics of processes (SS 2.2.2,

Fig 2.5)

The recommended study period for this unit is minimum 1 hour and 30 minutes.

ITILFND02 The ITIL service lifecycle

The purpose of this unit is to help the candidate to understand the value of the ITIL service lifecycle, how the processes integrate with each other, throughout the lifecycle and explain the objectives, scope and business value for each phase in the lifecycle







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Unit Content Specifically, candidates must be able to:

02-2. Describe the structure of the ITIL service lifecycle (SS 1. Introduction up to 1.1, SS 1.2, Fig 1.1)

02-3. Account for the purpose, objectives and scope of service strategy (SS 1.1.1, 1.1.2)

02-4. Briefly explain what value service strategy provides to the business (SS 1.1.4)

02-5. Account for the purpose, objectives and scope of service design (SD 1.1.1, 1.1.2)

02-6. Briefly explain what value service design provides to the business (SD 1.1.4)

02-7. Account for the purpose, objectives and scope of service transition (ST 1.1.1, 1.1.2)

02-8. Briefly explain what value service transition provides to the business (ST 1.1.4)

02-9. Account for the purpose, objectives and scope of service operation (SO 1.1.1, 1.1.2)

02-10. Briefly explain what value service operation provides to the business (SO 1.1.4)

02-11. Account for the main purpose, objectives and scope of continual service improvement (CSI 1.1.1, 1.1.2)

02-12. Briefly explain what value continual service improvement provides to the business (CSI 1.1.4)

It is recommended that this training is covered within other units.

The recommended study period for this unit is minimum 1 hour.

ITILFND03 Generic concepts and definitions

The purpose of this unit is to help the candidate to define some of the key terminology and explain the key concepts of service management.

Specifically, candidates must be able to define and explain the following key concepts:

03-1. Utility and warranty (SS 2.1.6 ) 03-2. Assets, resources and capabilities (SS 2.2.1) 03-3. Service portfolio (SS 4.2.4.1, Fig 4.14) 03-4. Service catalogue (both two-view and three-view types) (SD 4.2.4.5, Fig.

4.4, Fig. 4.5) 03-5. Governance (SS 2.3.1) 03-6. Business case (SS 3.6.1.1) 03-7. Risk management (SS 5.6.5.1, 5.6.5.2) 03-8. Service provider (SS 2.1.4)

03-10. Supplier (SS 2.1.5) 03-11. Service level agreement (SLA) (SD 4.3.4) 03-12. Operational level agreement (OLA) (SD 4.3.4) 03-13. Underpinning contract (SD 4.8.4.2) 03-14. Service design package (SD Appendix A) 03-15. Availability (SD 4.4.4.3)







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Unit Content 03-16. Service knowledge management system (SKMS) (ST 4.7.4.3) 03-17. Configuration item (CI) (ST 4.3.4.2) 03-18. Configuration management system (ST 4.3.4.3) 03-19. Definitive media library (DML) (ST 4.3.4.4) 03-20. Change (ST 4.2.4.4) 03-21. Change types (standard, emergency and normal) (ST 4.2.4.3, 4.2.4.7,

4.2.5.11)

03-24. Event (SO 4.1 1st para) 03-25. Alert (Glossary) 03-26. Incident (SO 4.2 1st para) 03-27. Impact, urgency and priority (SO 4.2.5.4) 03-28. Service request (SO 4.3 1st para) 03-29. Problem (SO 4.4 1st para) 03-30. Workaround (SO 4.4.5.6) 03-31. Known error (SO 4.4.5.7) 03-32. Known error database (KEDB) (SO 4.4.7.2) 03-33. The role of communication in service operation (SO 3.6)

03-35. Release policy (ST 4.1.4.2) 03-36. Types of services (SS 3.2.2.4, Tab 3.5) 03-37. Change proposals (ST 4.2.4.6) 03-38. CSI register (CSI 3.4) 03-39. Outcomes (SS 2.1.1) 03-40. Patterns of business activity (SS 4.4.5.2) 03-41. Customers and users (SS 2.1.5) 03-42. The Deming Cycle (plan, do, check, act) (CSI 3.8, Fig 2.8)

It is recommended that this unit is covered as part of the training in the other units.

ITILFND04 Key principles and models

The purpose of this unit is to help the candidate to comprehend and account for the key principles and models of service management and to balance some of the opposing forces within service management.


Service strategy

04-2. Describe value creation through services (SS 3.2.3, 3.2.3.1,Fig 3.6, Fig 3.7, not section on “Marketing mindset”)

Service design

04-3. Understand the importance of people, processes, products and partners for service management (SD 3.1.5, Fig 3.3)

04-4. Understand the five major aspects of service design (SD 3.1.1):

Service solutions for new or changed services Management information systems and tools







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Unit Content Technology architectures and management architectures The processes required Measurement methods and metrics

Continual service improvement

04-9. Explain the continual service improvement approach (CSI 3.1, CSI 3.1.1, Fig 3.1)

04-10. Understand the role of measurement for continual service improvement and explain the following key elements:

Relationship between critical success factors (CSF) and key performance indicators (KPI) (CSI 5.5.1)

Baselines (CSI 3.9.1) Types of metrics (technology metrics, process metrics, service metrics)

(CSI 5.5)

The recommended study period for this unit is minimum 1 hour and 30 minutes.

ITILFND05 Processes

The purpose of this unit is to help the candidate understand how the service management processes contribute to the ITIL service lifecycle, to explain the purpose, objectives, scope, basic concepts, activities and interfaces for four of the core processes, and to state the purpose, objectives and scope for eighteen of the remaining processes.

The list of activities to be included from each process is the minimum required and should not be taken as an exhaustive list.


Service strategy

05-2. State the purpose, objectives and scope for:

05-21 Service portfolio management (SS 4.2.1, 4.2.2 )

The service portfolio (SS 4.2.4.1, Fig 4.14)

05-22 Financial management for IT services (SS 4.3.1, 4.3.2)

Business case (SS 3.6.1.1)

05-23 Business relationship management (SS 4.5.1, 4.5.2, Tab 4.10)

Service design

05-3. Explain the purpose, objectives, scope, basic concepts, process







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Unit Content activities and interfaces for:

05-31 Service level management (SLM) (SD 4.3.1. 4.3.2, 4.3.6.4)

The following list must be covered:

Service-based SLA (SD 4.3.5.1) Multi-level SLAs (SD 4.3.5.1, Fig 4.7) Service level requirements (SLRs) (SD 4.3.5.2) SLA monitoring (SLAM) chart (SD 4.3.5.5, CSI Fig 4.4) Service review (SD 4.3.5.6) Service improvement plan (SIP) (SD 4.3.6.3) The relationship between SLM and BRM (SD 4.3.2.1)


05-41 Service catalogue management (SD 4.2.1, 4.2.2)

05-42 Availability management (SD 4.4.1, 4.4.2)

Service availability (SD 4.4.4.2) Component availability (SD 4.4.4.2) Reliability (SD 4.4.4.3) Maintainability (SD 4.4.4.3) Serviceability (SD 4.4.4.3) Vital business functions (VBF) (SD 4.4.4.3)

05-43 Information security management (ISM) (SD 4.7.1, 4.7.2 )

Information security policy (SD 4.7.4.1)

05-44 Supplier management (SD 4.8.1, 4.8.2 )

Supplier categories (SD 4.8.5.3, Fig 4.28)

05-45 Capacity management (SD 4.5.1, 4.5.2)

Capacity plan (SD 4.5.6.3) Business capacity management (SD 4.5.4.3) Service capacity management (SD 4.5.4.3) Component capacity management (SD 4.5.4.3)

05-46 IT service continuity management (SD 4.6.1, 4.6.2)

Purpose of business impact analysis (BIA) (SD 4.6.5.2) Risk assessment (SD 4.6.5.2)

05-47 Design coordination (SD 4.1.1, 4.1.2)







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Unit Content

Service transition

05-5. Explain the purpose, objectives, scope, basic concepts, process activities and interfaces for:

05-51 Change management (ST 4.2.1, 4.2.2, 4.2.4.6, 4.2.6.4, 4.2.6.5)

Types of change request (ST 4.2.4.3) Change models (ST 4.2.4.5) Remediation planning (ST 4.2.4.8) Change advisory board / emergency change advisory board (ST

4.2.5.10, 4.2.5.11) Lifecycle of a normal change (ST 4.2.5, Fig 4.2)


05-61 Release and deployment management (ST 4.4.1, 4.4.2)

Four phases of release and deployment (ST 4.4.5, Fig 4.23)

05-62 Knowledge management (ST 4.7.1, 4.7.2)

Data-to-Information-to-Knowledge-to-Wisdom (DIKW) & SKMS (ST 4.7.4.2, 4.7.4.3, Fig 4.36)

05-63 Service asset and configuration management (SACM) (ST 4.3.1, 4.3.2,)

05-64 Transition planning and support (ST 4.1.1, 4.1.2)

Service operation

05-7. Explain the purpose, objectives, scope, basic concepts, process activities and interfaces for:

05-71 Incident management (SO 4.2.1, 4.2.2, 4.2.4.2, 4.2.5, 4.2.6.4)

05-72 Problem management (SO 4.4.1, 4.4.2, 4.4.4.2, 4.4.5, 4.4.6.4), not section on problem analysis techniques (4.4.4.3)


05-81 Event management (SO 4.1.1, 4.1.2)

05-82 Request fulfilment (SO 4.3.1, 4.3.2)







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Unit Content 05-83 Access management (SO 4.5.1, 4.5.2)



05-91 The seven-step improvement process (CSI 3.9.3.1, 4.1, 4.1.1, 4.1.2, Fig 3.4)

The recommended study period for this unit is minimum 10 hours and 45 minutes.

ITILFND06 Functions

The purpose of this unit is to help the candidate to explain the role, objectives and organizational structures of the service desk function, and to state the role, objectives and overlap of three other functions.


06-1. Explain the role, objectives and organizational structures for

The service desk function (SO 6.3, 6.3.1, 6.3.2, 6.3.3, Figs 6.2, 6.3, 6.4)

06-2. State the role and objectives of:

The technical management function (SO 6.4.1, 6.4.2) The application management function (SO 6.6.1, 6.6.2) with application

development (SO 6.6.6.1, Tab 6.2) The IT operations management function (IT operations control and

facilities management) (SO 6.5.1, 6.5.2)

The recommended study period for this unit is minimum 1 hour.

ITILFND07 Roles

The purpose of this unit is to help the candidate to account for and to be aware of the responsibilities of some of the key roles in service management.


07-1. Account for the role and the responsibilities of the

Process owner (SD 6.3.2) Process manager (SD 6.3.3) Process practitioner (SD 6.3.4)







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Unit Content Service owner (SD 6.3.1)

07-2. Recognize the responsible, accountable, consulted, informed (RACI) responsibility model and explain its role in determining organizational structure. (SD 3.7.4.1, tab 3.2, not RACI-VS or RASCI)

The recommended study period for this unit is minimum 45 minutes.

ITILFND08 Technology and architecture

The purpose of this unit is to help the candidate to:

08-2. Understand how service automation assists with expediting service management processes (SS 7.1)

It is recommended that this unit is covered as part of the training in the other units.

ITILFND09 Competence and training

09-1. Competence and skills for service management (SD 6.5.1) 09-2. Competence and skills framework (SD 6.5.2) 09-3. Training (SD 6.5.3)

This unit is not examinable. The recommended period of study is 15 minutes.

ITILFND10 Mock exam

The purpose of this unit is to help the candidate to pass the ITIL Foundation exam.

Specifically, candidates must:

10-1. Sit a minimum of one ITIL Foundation mock exam.

The recommended study period for this unit is minimum 2 hours inclusive of revision.







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Format of the Examination This syllabus has an accompanying examination at which the candidate must achieve a pass score to gain the ITIL Foundation Certificate in IT Service Management.

Type Multiple choice, 40 questions. The questions are selected from the full ITIL Foundation Certificate in IT Service Management examination question bank.

Duration Maximum 60 minutes for all candidates in their respective language

Provisions for additional time relating to language

Candidates completing an exam in a language that is not their mother tongue have a maximum of 75 minutes to complete the exam and are allowed the use of a dictionary.

Prerequisite Accredited ITIL Foundation training is strongly recommended but is not a prerequisite.

Supervised Yes

Open Book No

Pass Score 26/40 or 65%

Delivery This examination is available in Online or Paper based format.



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1 Introduction

Module ITIL® Foundation with Case Study

Introduction

Module 1

ITIL®

1 Slide



Page 27




1 Introduction


Welcome and Logistics

  Introductions   Goals and objectives for the

course   Schedule overview   Exam

Slide 2

ITIL®

Welcome and learn a bit about the learnersTrainer begins, non prescriptive ice breaker or techniqueCould ask:

• Name• Role• Experience with ITSM or ITIL®

• Why are you attending this course?• What do you hope to learn from this course?



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1 Introduction


  The purpose of this course is to build a fundamental understanding of IT Service Management (ITSM) and ITIL® as approached in the latest 2011 edition set of books.

By the conclusion of this class, you will:

  Understand the purpose of the service Life Cycle and ITIL® processes and the relationships and associated roles and responsibilities of each.

  Learn the importance of using a standardized vocabulary to describe Service Management concepts.

  Gain an understanding of the relevance of Service Management to your own organization

  Upon completion of the course, you will be fully prepared to take the examination for the ITIL® 2011 Edition Foundation Certificate in IT Service Management.

Goals and Objectives for the Course

Slide 3

Introduce the course and objectives.



Page 29




1 Introduction


Time Day 1

Day 2

Day 3

Morning

Welcome & Introduction

Recap Day 1 Recap Day 1 & 2

Service Design 2 Continual Service Improvement 1 Service Transition 1

Break Break Break

Service Strategy 1 Service Transition 2 Continual Service Improvement 2

Lunch Lunch Lunch

Afternoon

Service Strategy 2 Service Operation 1 Sample Exam

Break Break Break

Service Design 1 Service Operation 2

Evaluation and Closure

Exam

Discussions, Homework and Revision prep Course Administration

Schedule Overview

Slide 4

Explain the agenda, breaks, rest rooms and emergency exits.



Page 30


Foundation Exam

This training will be concluded with an ITIL® Foundation exam. The examination includes 40 multiple choice questions, with a 65% needed to pass.

To prepare for your exam, sample exams are provided that will be discussed in class. Your trainer will provide further information on when to take the sample exam.

If the exam is in a different language than your native tongue, extra time may be allotted and use of a dictionary may be permitted. Please ask your instructor or exam proctor for more information, as restrictions apply.



1 Introduction


  40 multiple choice questions   65% score to pass (26 correct to pass)   1 hour   Closed book

Foundation exam

Slide 5



Page 31


What is ITIL®?

ITIL® is an acronym for the IT Infrastructure Library and provides a source of best practices in IT Service Management. ITIL® is used worldwide by organizations to establish and improve capabilities in Service Management. In the same area, ISO/IEC20000 provides a formal and universal standard for organizations seeking to have their Service Management capabilities audited and certified. While ISO/IEC20000 is a standard to be achieved and maintained, ITIL ® offers a body of knowledge useful for achieving the standard. It is important to note that organizations CANNOT become ITIL® certified, only people can.

ITIL describes the IT Service Life Cycle in 5 books. Each book provides guidance on a service based on its stage within the Life Cycle and contains a set of ITSM processes that describe the inputs, outputs, activities and capabilities required to ensure services are delivered in alignment to the business needs.



1 Introduction


  ITIL® is an acronym for the IT Infrastructure Library   Set of best practice publications for IT service management   Describes the IT Service Life Cycle in 5 books   Provides a baseline for planning, implementation and measurement

What is ITIL®?

Slide 6

ITIL ® Continual Service Improvement

2011 edition BEST

MANAGEMENT PRACTICE PRODUCT

ITIL ® Service Operation

2011 edition BEST


ITIL ® Service Transition

2011 edition BEST


ITIL ® Service Design

2011 edition BEST


Briefly define purpose, structure and evolution of ITIL®. Define ITIL’s connection to ITSM



Page 32


History of ITIL

ITIL® emerged in the 1980s while the UK Government’s Central Computer and Telecommunications Agency (CCTA, which in the 1990s became known as the Office of Government Commerce and currently known as Axelos) gathered practices from users, suppliers and consultants. The amount of publications comprising the ITIL® library grew to more than 30 books, but was not widely embraced by the industry until the mid-1990s. To make ITIL® more accessible, ITIL® v2 focused on reducing the amount of books, of which two (Service Support and Service Delivery) became the most used.

ITIL® Service Management practices are not based on any particular technology platform or industry type. ITIL® is owned by the UK government and not tied to any commercial proprietary practice or solution. The ITIL® books and diagrams are Axelos copyrighted but ITIL® can be used publicly without any fee.



1 Introduction


  EEmerged in the 1980s

  ITIL v2 in 2001

  ITIL v3 in 2007

  ITIL 2011 edition in 2011

  ITIL is non-proprietary

History

Slide 7



Page 33


Overview of ITIL® Key Lifecycle Ohases and Outputs

Service strategy establishes policies and principles that provide guidance for the whole service lifecycle. The service portfolio is defined in this lifecycle stage, and new or changed services are chartered.

During the service design stage of the lifecycle, everything needed to transition and operate the new or changed service is documented in a service design package. This lifecycle stage also designs everything needed to create, transition and operate the services, including management information systems and tools, architectures, processes, measurement methods and metrics.

The activities of the Service Transtition and service operation stages of the lifecycle are defined during service design. Service transition ensures that the requirements of the Service Strategy, developed in service design, are effectively realized in service operation while controlling the risks of failure and disruption. The service operation stage of the service lifecycle carries out the activities and processes required to deliver the agreed services. During this stage of the lifecycle, the value defined in the Service Strategy is realized.

Continual service improvement acts in tandem with all the other lifecycle stages. All processes, activities, roles, services and technology should be measured and subjected to continual improvement.



1 Introduction


Overview of ITIL® Key Lifecycle Phases and Outputs

Slide 8

The Business / Customers Requirements

Serv

ice

Know

ledg

e

Man

agem

ent S

yste

m (S

KMS)

Service Strategy Policies

Resource and Constraints

Change Proposals and Service

Charters

Service Design

Service Transition

Service Operation

Continual Service Improvement

Solution Designs Architectures

Tested Solutions SKMS Updates

Service Design Packages

Standards

Operational / Live Services

Service Portfolio

Service Catalog

Strategies

Achievements Against Targets

Implementation of Transition Plans

New / Changed / Retired Services

CSI Register, Improvement Actions and Plans

Integration Across the Service Lifecycle

Business Value

Explain the concept of the ITIL® integrated framework where information from one lifecycle is passed to other lifecycle phases



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1 Introduction


  ITIL® Core   ITIL® Complementary Guidance   ITIL® Live (Web-support services)

So what is ITIL®?

Slide 9

Service Strategy is the core of the framework and drives everything else that happens Service Design, Service Transition and Service Operation represent growth and change within the systemContinual Service Improvement ensures alignment between the service provider and the business



Detail the ITIL certification scheme

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ITIL® Certification SchemeFrom Foundation, there are two different streams from which to choose:

The ITIL® Intermediate Lifecycle Stream —consisting of five modules, each with a separate exam—focuses on one of the five core books. This lifecycle stream is meant for generic managers and those who want a more thorough understanding of a specific stage in the lifecycle. These modules are worth three credits each and are:

• Service Strategy• Service Design• Service Transition

• Service Operation• Continual Service Improvement

The ITIL® Intermediate Capability Stream —consisting of four modules, each with a separate exam—focuses on a group of closely related processes. This stream is meant for those who require more practical experience in implementing or running and managing these processes. The modules are worth four credits each, and the available modules are:

• Operational Support and Analysis• Release Control and Validation

• Service Offerings and Agreements• Planning Protection and Optimization

The Managing Across the Lifecycle course integrates all knowledge on ITIL® acquired in either the lifecycle courses or the capability modules. This is also concluded by an exam which is worth five credits. These credits are required within the 22 credits to acquire the ITIL® Expert.

After reaching the ITIL® Expert, professionals can work towards the ITIL® Master qualification.

This level of the qualification will assess an individual’s ability to apply and analyze the ITIL® concepts in new areas.



1 Introduction


Slide 10

  Under the ITIL® Certification Program, different levels of certification are available

  ITIL® Certification Scheme

1 Introduction

Module

ITIL® Foundation with Case Study

Under the ITIL® Certification Program, different levels of certification are available

ITIL® Certification Scheme



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Why is ITIL® successful?

ITIL® represents the experiences and thought leadership of the world’s best-in-class service providers. It unites all areas of service provision towards delivering one single aim – delivering value to the business. The guidance is pollinated with knowledge from the disciplines such as operations management, marketing, finance, information systems, organizational development, systems dynamics, and industrial engineering. The result is a body of knowledge robust enough to be effective across a wide range of business environments.

Further, the guidance is generic in nature, and not based on any technology or platform or tool and is applicable to all IT service providers, irrespective of the context.



1 Introduction


  Best practice   Common framework   Non-prescriptive   Vendor-neutral   Non-proprietary

Why is ITIL® successful?

Slide 11

ITIL® is perhaps the best known framework for ITSM in the world. It is applicable to all industry segments and all sizes of organizations. ITIL® is descriptive (defines what you should do) not prescriptive (ITIL® doesn’t tell you how to do it)



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1 Introduction


  Reduced costs   Improved IT services through leveraging best-practice processes

  Improved customer satisfaction

  Balanced and flexible approach to service provision

  Well-designed services that meet current and future customer needs

  Ability to quickly adapt to evolving business needs and maturity

  Improved internal and external communication

  Improved metrics to understand the quality and value of the services provided

Key Benefits of ITIL®

Slide 12

Explain key benefits



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Service Management Best PracticeOrganizations benchmark themselves against peers and seek to close gaps in capabilities. This enables them to become more competitive by improving their ability to deliver quality services that meet the needs of their customers at a price their customers can afford. One way to close such gaps is the adoption of best practices in wide industry use.

There are several sources for best practice. These sources include:

• Standards such as ISO9000, ISO/IEC20000, and ISO/IEC27001 are a set of criteria that help validate a practice. These standards may be based upon existing industry practices or originate from (academic) research.

• Industry practices (ITIL®, CobiT®, CMMI®, eSCM-SP, PRINCE2™, PMBOK®, M_o_R®, eTOM®, Six Sigma) are a set of guidelines that are used throughout the industry and have proven their usefulness.

• Academic research• Training and education• Internal experience, also called proprietary knowledge

The other side of the graphic depicts the enablers that define how these sources may be used. These enablers play an important role in determining the practice that is fit for purpose. The employees (related to corporate culture) will play an important role in the organization, and the use of technology may also facilitate much within Service Management.

The enablers and sources alone do not form the practice that fits the organization; several drivers and scenarios influence the employment of a Service Management practice. Laws such as Sarbanes-Oxley (SOX) have a major influence on the way business operates, and customers will usually desire that an organization’s way of working is aligned with its own. Competition may further shape the way of business, as the organization must stay competitive to stay alive.



1 Introduction


Service Management Best Practice

Slide 13

SSources of Best Practice   Standards   Industry Practices (ITIL®)   Academic Research   Training & Education   Internal experience

Enablers   Employees   Customers   Suppliers

Drivers   Substitutes   Regulators   Customer

Scenarios   Competition   Compliance   Commitments

Adapt Your ITSM approach to the Organization

  Consultants   Technologies

ITSM is a body of knowledge made up of several facets including:

• business drivers that demand managed services• business scenarios driving the need for the business to

be more agile and responsive• best practice guidance, from several sources• underpinning enablers required to build

managed servicesThe organization should use all the tools at its disposal to craft an ITSM approach that best fits its unique needs.Each ITSM implementation will be unique, because each situation is unique.Adopt and adapt.



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Best Practice in the Public DomainPublic frameworks and standards are attractive when compared with proprietary knowledge for the following reasons:

• Proprietary knowledge is deeply embedded in organizations and therefore difficult to adopt, replicate or even transfer with the cooperation of the owners. Such knowledge is often in the form of tacit knowledge which is inextricable and poorly documented.

• Proprietary knowledge is customized for the local context and the specific needs of the business to the point of being idiosyncratic. Unless the recipients of such knowledge have matching circumstances, the knowledge may not be as effective in use.

• Owners of proprietary knowledge expect to be rewarded for their investments. They may make such knowledge available only under commercial terms through purchases and licensing agreements.

Publicly available frameworks and standards such as ITIL®, LEAN, Six Sigma, COBIT®, CMMI, PRINCE2®, PMBOK®, ISO 9000, ISO/IEC 20000 and ISO/IEC 27001 are validated across a diverse set of environments and situations rather than the limited experience of a single organization. They are subject to broad review across multiple organizations and disciplines, and vetted by diverse sets of partners, suppliers and competitors.

The knowledge of public frameworks is more likely to be widely distributed among a large community of professionals through publicly available training and certification. It is easier for organizations to acquire such knowledge through the labour market.

Ignoring public frameworks and standards can needlessly place an organization at a disadvantage. Organizations should cultivate their own proprietary knowledge on top of a body of knowledge based on public frameworks and standards. Collaboration and coordination across organizations become easier on the basis of shared practices and standards.



1 Introduction


  Validated across diverse environments and situations

  Easier to acquire   Knowledge distributed through

training and certification   ISO/IEC 20000, ISO/IEC 27001,

ITIL®, COBIT®, LEAN, Six Sigma

  Deeply embedded in organizations   Customized for local context   Poorly documented   Difficult to adopt   Available through purchase or

license

Best Practice in the Public Domain

Slide 14

AAdopt and Adapt

Standards and Frameworks Proprietary Knowledge

Best practice guidance comes from several sources:• Standards and frameworks

• frameworks are non-prescriptive (like ITIL®)• standards are more directive (like the shall

statements in ISO standards)• Proprietary knowledge

• Is good as it contains ways of doing things that have grown within the organization and are uniquely suited

• Is bad in that this sort of tribal knowledge is often poorly documented, difficult to adopt and not portable

• Keep the good from proprietary knowledge and apply best practice to areas of inefficiency



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Value of Service Management Best Practice

Service Management Best Practices assist organizations to align IT with the business side of the organization. This will improve IT organization's ability to deliver high quality and consistently reliable services that meet customer needs, while optimizing the cost and risks involved with service provision.



1 Introduction


Quality and Consistency of services provided

Value of Service Management Best Practice

Slide 15

Cost and Risk associated with service provision

Interest in ITSM grew from business and industry pressures to improve quality and consistency of services delivered while reducing costs and risksTo link the subject matter into an understandable whole covering the entire lifecycle, you can choose to tell a ‘story’ throughout the lifecycle. Use your own if you prefer. Otherwise, consider:The analogy of building and running a restaurant may be used to explain the concepts and consolidate learning. Guidance on this theme is provided throughout the remainder of this text.



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What is a Service?

Services are a means of delivering value to customers by facilitating the outcomes customers want to achieve without the ownership of specific costs and risks.

Outcomes are possible from the performance of tasks and are limited by the presence of certain constraints. Broadly speaking, services facilitate outcomes by enhancing the performance and by reducing the grip of constraints.

The often repeated quote by Harvard Business School Professor Theodore Levitt shows the intangible nature of services: “People want a quarter-inch hole, not a quarter-inch drill.”

This is also applicable to IT; the customer wants a specific service, such as email, which supports the outcome of cheap, reliable and fast written communication. A customer does not want to be bothered by running hardware, maintaining software and ensuring that there is sufficient capacity in the network.



1 Introduction


What is a Service?

Slide 16

“People want a quarter-inch hole, not a quarter-inch drill.” - Professor Theodore Levitt, Harvard Business School

SServices are a means of delivering value to customers by facilitating the outcomes customers want to achieve without the ownership of specific costs and risks.

Service Provider A Service Provider is an Organization supplying Services to one or more Internal or External Customers.

Services “Service” can mean:

• I want someone else to take care of something for me so I don’t have to worry bout it myself. If it is done well, I am prepared to pay well for it.

• My service provider is specialize in offering the service , so my expectation is that my provider can do this better, cheaper and more efficiently than I can do myself.

• I want to be able to choose the service provider who offers the best service and fire my service provider if they do a poor job. So I transfer the risk of balancing investment and quality to my service provider.

Tie to restaurant analogy:Ultimately, the customer is willing to pay for the service of having a pleasant experience by having a meal in a nice environment with friendly waiters and being serviced within a reasonable time.The average restaurant customer does not want to walk into a kitchen, instruct the cooks what to cook, which equipment to use, how to prepare the dish and manage the kitchen. This is what you pay the restaurant to provide.



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Types of services

At a generic level, services can be classified into Internal and External services. Internal services are delivered between business units or departments of the same organization while external services are delivered to organizations external to the IT organization.

We differentiate between them so we may understand which services achieve "business outcomes" vs. “supporting internal activities”. While these may seem similar, it's important to ensure internal services are linked to external services so their contributions to "business outcomes" can be measured. This is especially important for measuring the return on investment (ROI) of services.

The External Customers are the customers of IT service provider who purchase services in terms of a legally binding contract.



1 Introduction


Types of Services

Slide 17

Services

Internal Delivered between business units or departments in the same organization

External Delivered to external customers

Services can be internal (delivered within the organization) or external (delivered to external customers).Consider a bank: if a customer uses an electronic teller, they are accessing applications and services that are externally facing. However, the bank also needs internally facing services like payroll and communications that allow employees to serve their external customers.



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What is an IT Service?

Customer outcomeA business outcome could be e.g. 95% of all claims processed within 48 business hours. This outcome could provide this company a strategic advantage over the competition. It would increasing external customer value and satisfaction.

Customer (business unit claims department)Customers use business processes and business assets to create value through facilitating outcomes for their customer, in this example we see a business unit perform a business process called Process Claims by the claims department.

IT ServicesIT Services are supported by Service Assets and managed as a cohesive whole from a customer perspective instead of from a technology perspective. This is what we call Service Management

IT Assets (managed by IT functions)Many specialized functions that manage their IT service assets might be involved in providing a single IT service. In this example all ITIL® Functions are involved in one way or other in building, operating and supporting the service. Using our restaurant example, there should be clear understanding within the organization that it only takes one poor “ingredient” (e.g. unfriendly server or less than clean silverware) to damage the reputation of the “restaurant”.



1 Introduction


What is an IT Service?

Slide 18

Process Claims Business Process supported by Application Service

Customer Outcome

Customer (Business Unit Claims Department)

IT Service

IT Assets (managed by functions)

IT Service e.g. Case Management Application Service

Technical Management

IT Operations Management

Application Management

Service Desk

Explain the make-up of a service: IT assets are used to supply services which in term are used by customers to facilitate desired outcomes



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Core, enabling and enhancing services

Core services deliver the basic outcomes desired by one or more customers. They represent the value that the customer wants and for which they are willing to pay. Core services anchor the value proposition for the customer and provide the basis for their continued utilization and satisfaction.

Enabling services are services that are needed in order for a core service to be delivered. Enabling services may or may not be visible to the customer, but the customer does not perceive them as services in their own right. They are ‘basic factors’ which enable the customer to receive the ‘real’ (core) service.

Enhancing services are services that are added to a core service to make it more exciting or enticing to the customer. Enhancing services are not essential to the delivery of a core service, and are added to a core service as ‘excitement’ factors, which will encourage customers to use the core service more (or to choose the core service provided by one company over those of its competitors).



1 Introduction


Services can be further classified in terms of how they relate to one another and to customers

Types of Services

Slide 19

Customer

Core Services Enhancing Services

Enabling Services Enabling Services

Core services deliver the basic outcomes desired by one or more customers (access to employee benefits information)Enabling services are services that are needed in order for a core service to be delivered (the web services needed to deliver the benefits information to the employee)Enhancing services are services that are added to a core service to make it more exciting or enticing to the customer (ability to make online changes to benefits information)Services may be ‘packaged’ to provide added value to the customer



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To illustrate this in another context, the core services of a bank could be providing financial capital to small and medium enterprises. Value is created for the bank’s customers only when the bank can provide financial capital in a timely manner (after having evaluated all the costs and risk of financing the borrower).

Enabling services could be:

• Aid offered by loan officers in assessing working capital needs and collateral

• The application-processing service

• Flexible disbursement of loan funds

• A bank account into which the borrower can electronically transfer funds.

As basic factors, enabling services only give the provider an opportunity to serve the customer. Enabling services are necessary for customers to use the core services satisfactorily. Customers generally take such services for granted, and do not expect to be additionally charged for the value of such services. Examples of commonly offered enabling services are service desks, payment, registration and directory services.

In most markets, enabling services will allow the minimum requirements for operation, although many provide the foundation for differentiation, but it is the enhancing services that will provide the differentiation itself – the ‘excitement factor’.

Examples of enhancing services are more difficult to provide, particularly because they tend to drift over time to be subsumed into core or enabling services. In other words, what is exciting to a customer today becomes expected if it is always delivered.


1 Introduction




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Service Management

ITSM must be carried out effectively and efficiently. Managing IT from the business perspective enables organizational high performance and value creation. A good relationship between an IT service provider and its customers relies on the customer receiving an IT service that meets its needs, at an acceptable level of performance and at a cost that the customer can afford.

The IT service provider needs to work out how to achieve a balance between these three areas, and communicate with the customer if there is anything which prevents it from being able to deliver the required IT service at the agreed level of performance or price.



1 Introduction


Service Management

Slide 20

Service Management A set of specialized organizational capabilities for providing value to customers in the form of services.

IT Service Management (ITSM) The implementation and management of quality IT services that meet the needs of the business. IT service management is performed by IT service providers through an appropriate mix of people, process and information technology.

These are the ITIL® definitions for service and service management. The learner should understand these concepts.



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IT Service Management Challenges

Organizational capabilities are shaped by the challenges they are expected to overcome. Service Management capabilities are similarly influenced by the following challenges that distinguish services from other systems of value-creation, such as manufacturing, mining and agriculture:

• The intangible nature of the output and intermediate products of service processes: Difficult to measure, control, and validate (or prove)

• Demand is tightly-coupled with customer’s assets: Users and other customer assets such as processes, applications, documents and transactions arrive with demand and stimulate service production

• High level of contact for producers and consumers of services: Little or no buffer between the customer, the front-office and back-office

• The perishable nature of service output and service capacity: There is value for the customer from assurance on the continued supply of consistent quality. Providers must secure a steady supply of demand from customers



1 Introduction


  Challenges of Service Management Capabilities

  Intangible nature of output and products

  Demand tightly coupled with customer’s assets

  High level of contact for producers and customers

  Perishable nature of service output and capacity

Service Management

Slide 21



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Types of service providers

Three types of service providers may be identified:

1. Internal Service Provider: An Internal Service Provider is established close to the business and is defined as “A Service Provider that is part of the same organization as its customer.” As shown in the graphic above with (1), the Internal Service Provider A and B are both examples of Internal Service Providers that provide their services to a business unit. In this case, each business unit has its own Service Provider.

2. Shared Services Unit: As many services like finance, IT and human resources are not part of the business of many organizations and are often consolidated into an autonomous special unit, called the Shared Services Unit (SSU). This structure helps spread costs and risks and allows a more business-like approach for the Service Provider. For small organizations, a Shared Services Unit is not an option, as it would be the same as an Internal Service Provider.

3. External Service Provider: Defined as “A Service Provider that is part of a different organization as its customer,” it is often referred to as an external supplier. External Service Providers usually serve many organizations and customers and are often dedicated to supplying IT services.



1 Introduction


Three Types of Service Providers

Slide 22

Corporation

Business Unit 1

Business Unit 2

Shared Service Unit

Internal Service Provider A

Internal Service Provider B

External Service Provider

Many organizations actually service all three types of customers



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Stakeholders in Service Management

Stakeholders have an interest in an organization, project or service etc. and may be interested in the activities, targets, resources or deliverables from service management.

Stakeholders include the following:Customers

• Internal customers These are customers who work for the same business as the IT service provider. For example, the marketing department uses IT services.

• External customers These are customers who work for a different business. External customers purchase services through legally binding contracts.

Users• Those who consume and request services on a daily basis.

Users are distinct from customers, as users are not decision makers for service offerings (they do not control budget) e.g. laptop users, people who need access to network drives or order printer consumables

Suppliers• Third parties responsible for supplying goods or services needed to deliver IT services.

E.g. hardware and software vendors and outsourcing organizationsMaterial in this document has been sourced from ITIL ® Lifecycle Suite, 2011 edition. No part of this document may be reproduced in any form without the written permission of both Quint Wellington Redwood and AXELOS Limited. Permission can be requested at www.quintgroup.com and [email protected].


1 Introduction


Stakeholders in Service Management

Slide 23

Customers

Users

Suppliers

Buy goods or services

Supply goods or services needed to deliver IT services.

Consume and request services

Explain the definitions of the separate stakeholder groups.



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Types of customers

Internal customers - These are customers who work for the same business as the IT service provider. For example, the marketing department is an internal customer of the IT organization because it uses IT services. The head of marketing and the chief information officer both report to the chief executive officer. If IT charges for its services, the money paid is an internal transaction in the organization’s accounting system, not real revenue.

External customers - These are customers who work for a different business from the IT service provider. External customers typically purchase services from the service provider by means of a legally binding contract or agreement.



1 Introduction


Types of Customers

Slide 24

CCustomers

Internal Customers working for the same business as the Service Provider

External Customers working for a different business from the Service Provider



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What are service assets?

The service relationship between service providers and customers requires the use of assets. Assets can be classified as following:

Capabilities - The ability of an organization, person, process, application, Configuration Item, or IT service to carry out an activity. Capabilities are intangible assets and cannot produce value by themselves, without adequate and appropriate resources.

Resources - Include IT infrastructure, people, money, or anything else that might help deliver an IT service. Typically, resources are tangible assets and are relatively easier to acquire than capabilities.

Organizations use resource and capability assets to create value in the form of goods and services.

The act of transforming resources and capabilities into valuable service is known as Service Management.



1 Introduction


What are Service Assets?

Slide 25

Capabilities

Resources

Capabilities coordinate, control, and deploy

Resources

Process

Management

Organization

Knowledge

People

People

Financial Capital

Infrastructure

Applications

Information

Assets

Explain the terminology using an example/analogy:Microsoft has a lot of financial resources, yet several years ago Bill Gates did not encourage his people to innovate using the internet, as he saw no market potential. Netscape used their people capabilities to capture the browser market. When it became apparent that the internet had huge market potential, Microsoft leveraged its financial power to develop people capabilities as well, and offered their competitive web browser for free, thus capturing the market for web browsers



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Governance

In general, governance ensures that policies and strategies are implemented, and that required processes are correctly followed. Governance includes defining roles and responsibilities, measuring, reporting and taking actions to resolve any identified issues. It is important to distinguish between governance and management, as they are often used within the wrong context. Governance is about maintaining proper policy and procedures to ensure that IT is “doing the right things.” Management is about “doing things right.”



1 Introduction


  GGovernance is the single overarching area that ties IT and the business together   policies and strategies are implemented   process correctly followed   roles and responsibilities defined   measuring and reporting   complemented by Management Systems

Governance

Slide 26

Corporate Governance

IT Governance

Finance Governance

Other Governance

Define the concepts and why they are important



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Process Characteristics

Measurable

We are able to measure the process in a relevant manner. Managers want to measure cost, quality and other variables while practitioners are concerned with duration and productivity.

Specific Results

The reason a process exists is to deliver a specific result. This result must be individually identifiable and countable.

Customers

Every process delivers its primary results to a customer or stakeholder. Customers may be internal or external to the organization, but the process must meet their expectations. “Customer” does not always indicate a person or group of people; some processes deliver results to another process.

Responsiveness to specific Triggers

While a process may be ongoing or iterative, it should be traceable to a specific trigger.



1 Introduction


Processes define actions, dependencies and sequence. Well-defined processes improve productivity within and across organizations and functions.

Processes

Slide 27

Inputs Processes Outputs

A structured set of activities designed to accomplish a specific objective. A process takes one or more defined inputs and turns them into outputs.

Define process and process structure. Explain that each ITIL® lifecycle phase ‘contains’ processes that enable the work of the phase to be accomplished



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Process Model

Every process requires Process Enablers and is regulated by a control mechanism. It also exhibits the two major roles in the process: Process Owner and Process Manager.

Each process should have a Process Owner who is responsible for the process, its improvement and for ensuring that the process meets its objectives. The objectives of any IT process should be defined in measurable terms and should be expressed in terms of business benefits and underpinning business strategy and goals. The output produced by a process must conform to operational norms that are derived from business objectives. If products conform to the set norm, the process may be considered effective (because it can be repeated, measured and managed). If the activities are carried out with a minimum use of resources, the process may also be considered efficient. Process analysis, results and metrics should be incorporated into regular management reports and process improvements.

Each process may also have a Process Manager who is responsible for the operational management of a process. There may be several managers for the one process and they will report to the process owner.



1 Introduction


Process Model

Slide 28

Triggers

Process Capabilities

Process Feedback

Process Objectives

Process Documentation

Process Policy Process Owner

Process Improvements

Process Roles

Process Work Instructions

Process Procedures

Process Metrics Process Activities

Process Resources

Process Enablers

Including process reports and reviews

Process

Process Control

Process Outputs

Process Inputs



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For each part of this diagram, we may identify some typical elements. For the Process these include the Process Activities, Process Metrics, Process Roles, Process Procedures, Process Work Instructions and Process Improvements.

Process Enablers are the process assets, resources and capabilities.

Process Control is defined as: The activity of planning and regulating a process, with the objective of performing a process in an effective, efficient and consistent manner. Processes, once defined, should be documented and controlled; once under control, they can be repeated and become manageable. Degrees of control over processes may be defined, and then process measurement and metrics may be built in to the process to control and improve the process as illustrated. It includes, among others: Process Policy, Process Owner, Process Documentation, Process Objectives and Process Feedback.

The generic process elements show that data enters the process, is processed, and the output and the outcome is measured and reviewed. A process is always organized around a set of objectives. The main outputs from the process should be driven by the objectives and should always include process measurements (metrics), reports and process improvement.


1 Introduction




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Measurable

We are able to measure the process in a relevant manner. Managers want to measure cost, quality and other variables while practitioners are concerned with duration and productivity.

Specific Results

The reason a process exists is to deliver a specific result. This result must be individually identifiable and countable.

Customers

Every process delivers its primary results to a customer or stakeholder. Customers may be internal or external to the organization, but the process must meet their expectations. “Customer” does not always indicate a person or group of people; some processes deliver results to another process.

Responsiveness to specific Triggers

While a process may be ongoing or iterative, it should be traceable to a specific trigger.



1 Introduction


  Measurable   Specific results

  Customers

  Responsiveness to specific triggers


Slide 29

All processes have four characteristics.Specific Results – the process must have a specific reason to exist, and the output from the process forms a link in the value chain that leads to the outcomes the customer desires. If you can’t define the purpose of a process – why are you doing it?Responsiveness to a trigger – processes has a defined starting point.Customers – process outputs must be provided to a ‘customer’. Explain to the learner that they need to expand the definion of customer in this context. Customer does not have to be a person, it may be another process.Measurable – all processes are closed-loop. We need a way to assess whether the process is meeting requirements and to identify where we have opportunities for improvementChallenge the learners: Is a flowchart a process? (Probably not. Most flowcharts do not include detail on measurability).



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Roles in Service Management

A role is a set of responsibilities, activities and authorities granted to a person or team. A role is defined in a process or function. One person or team may have multiple roles – for example, the roles of configuration manager and change manager may be carried out by a single person.

Roles are often confused with job titles but it is important to realize that they are not the same. Each organization will define appropriate job titles and job descriptions which suit their needs, and individuals holding these job titles can perform one or more of the required roles.

It should also be recognized that a person may, as part of their job assignment, perform a single task that represents participation in more than one process.



1 Introduction


A role is a set of responsibilities, activities and authorities granted to a person or team.

  Key roles in ITIL® include:

Roles in Service Management

Slide 30

Service Owner

Process Owner

Process Manager

Process Practitioner

Define role. Roles are not the same thing as job titles. Throughout the course of a day, an individual may fill many different roles – likened to ‘switching hats’.A specific individual may have many roles, and roles may be assigned to several individuals (many-to- many relationship).Explain that there are many roles within ITIL, but for this course, we will concentrate on four main roles.Compare and contrast the owner roles.Describe the responsiblities for process manager and process practitioner.



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Key roles in ITIL include:

Service Owner

• Accountable for the delivery of a specific IT service

• Ensures ongoing service delivery and support

• Works with BRM to translate customer requirements into service requirements

• Identifies service improvements

• Provides input to service attributes such as performance and availability

• Represents the service to the organization

• Participates in negotiating SLAs and OLAs

Process owner

• Accountable for ensuring the process is performing as agreed

• Defines process strategy

• Ensures appropriate process documentation is available

• Periodically audits the process to ensure compliance

• Communicates process information or changes as appropriate

• Ensures process technicians have required knowledge

• Identifies process improvements

• Addresses issues with the running of the process

Process Manager

• Responsible for operational management of a process

• Works with process owner to plan and coordinate process activities

• Ensures all activities are carried out as required

• Appoints people to required roles

• Monitors and reports on process performance

• Manages resources assigned to the process

• Identifies process improvement opportunities

Process Practitioner

• Responsible for carrying out one or more process activities

• Understands how their role contributes to the overall delivery of service and value creation

• Works with other stakeholders to ensure that contributions are effective

• Ensures that inputs, outputs and interfaces for their activities are correct

• Creates or updates records to show that activities have been carried out correctly


1 Introduction




Page 59


Assigning Roles & Responsibilities (RACI)

For service management to be successful it is essential to define the roles and responsibilities within the organization for various activities.

When managing a service or a process it imperative that all the roles are clearly defined. A trademark of high performing organizations is the ability to make the right decisions quickly and execute them effectively. Whether the decision involves a strategic choice or a critical operation, being clear on who has input, who decides, and who takes action will enable the company to move forward rapidly.

The RACI model will be beneficial in enabling decisions to be made with pace and confidence. RACI is an acronym for the four main roles of:

• Responsible - The person or people responsible for getting the job done

• Accountable - Only one person can be accountable for each task

• Consulted - The people who are consulted and whose opinions are sought

• Informed - The people that are kept up-to-date on progress



1 Introduction


  Used to define roles and responsibilities in relation to processes and activities   Responsible   Accountable   Consulted   Informed

Assigning Roles & Responsibilities (RACI)

Slide 31

1236 5 4

Process Design

Staff Training

Incident Identification

Record & Categorize

Classify & Initial Support

Investigate & Diagnose

A

A

A

A

A

A

R

R

R/I

R

I

I

I

C/I

R

R

I

I

I

I

INC Management Process Owner

INC Management Process Manager

Tier I Service Desk, INC Practitioner

Tier II Support Group, INC Practitioner

A RACI model is used to define roles and responsibilitiesRACI is likely the only acronym the learner will see on their actual exam at this level.

• Accountable people are Owners• Responsible people are Doers (managers)• Consulted people are subject matter experts• Informed people are stakeholders

Stress that only one person can be Accountable for an activityAt least one person must be Responsible for each activityLimit the number of Informed people so you don’t create bottlenecks for yourself.Walk learners through an example of a RACI chart using the Incident Management process.



Page 60


The RACI chart in the above table shows the structure and power of RACI modeling with an example of process activities down the left-hand side including the actions that need to be taken and decisions that must be made. Across the top, the chart lists the functional roles responsible for carrying out the initiative or playing a part in decision making.

Note: Only 1 “A’’ per row is allowed and at least 1 “R” is needed per row (this ensures that someone actually does the work).

Whether RACI or some other tool or model is used, the important point is to not just leave the assignment of responsibilities to chance or leave it until the last minute to decide. Conflicts can be avoided and decisions can be made quickly if the roles are determined in advance.


1 Introduction




Page 61


Functions in Service Management

ITIL describes the following logical functions:

Service deskThe single point of contact for users when there is a service disruption, for service requests, or even for some categories of request for change. The service desk provides a point of communication to the users and a point of coordination for several IT groups and processes.

Technical ManagementProvides detailed technical skills and resources needed to support the ongoing operation of IT services and the management of the IT infrastructure. Technical management also plays an important role in the design, testing, release and improvement of IT services.

IT Operations ManagementExecutes the daily operational activities needed to manage IT services and the supporting IT infrastructure. This is done according to the performance standards defined during service design. IT operations management has two sub-functions that are generally organizationally distinct. These are IT operations control and facilities management.

Application ManagementIs responsible for managing applications throughout their lifecycle. The application management function supports and maintains operational applications and also plays an important role in the design, testing and improvement of applications that form part of IT services



1 Introduction


A team or group of people and the tools or other resources they use to carry out one or more processes or activities

  Service desk

  Technical Management

  Application Management

  IT Operations Management

Functions in Service Management

Slide 32

Briefly define function in ITIL®: an organizational structure. Functions are not the same as boxes on an org chart, but are just a way to bring structure to an organization. The people within a function have common goals and objectives, common knowledge and skill sets, common tools and work methodsIntroduce the four ITIL functions. They will be described in detail within the Service Operation module.Explain that even though the functions are described in Service Operation (the bulk of their work is actually done during this lifecycle phase) , they are called upon to do work within ALL lifecycle phases



Page 62


Risk Management

Risk management is not an explicit ITIL® Process, it’s something implicit to all processes and must be fully understood to make smart Service Management decisions. Examples of risks include:

• What is the risk that we invest in this IT Solution and the customer will not have that much demand for it?

• What is the risk of trying to skip testing because the customer wants speed over quality?

So, a risk is uncertainty of outcome. Uncertainties of outcome can be either positive or negative.

There are two distinct phases: risk planning and risk management.

Risk Planning is concerned with gathering information about exposure to risk so that the organization may make appropriate decisions and manage risk appropriately. Risk Planning is split up in two activities, the first “Identifying the risk” deals with naming the identified and suspected risks. The second activity “Analysing the risk”, deals with quantifying the impact and probability of the risk.

Once the risks have been assessed and documented, they must be managed. Risk Management ensures that appropriate actions are taken and verifies whether these are working as expected. It involves having processes in place to monitor risks, access to reliable and up-to-date information about risks, the right balance of control in place to deal with those risks, and decision making processes supported by a framework of risk analysis and evaluation. Management also involves the identification, selection and adoption of countermeasures justified by the identified risks to assets in terms of their potential impact upon services if failure occurs, and the reduction of those risks to an acceptable level.


1 Introduction odule ITIL® Foundation with Case Study

1 2 3654

  Risk Assessment   Risk identification

  Quantification of Impact & Probably

  Mitigation strategies definition

  Risk Management   Monitor risks

  Identification, selection and adoption of countermeasures

Risk Management

A risk is “uncertainty of outcome”

Risk management is the process of identifying, assessing and controlling risks

Risk of capacity relateoutage due to lack of

monitoring capabilities

Risk of firewall intrusion

?

Risk managemnt is not an eplict ITIL process, but it is implicit in several of the true ITIL processes, notably Change, Security, Continuity, etc., as well as playing a large role in strategy and investment decisions.

• A risk is uncertainty of outcome• Risks can be both positive (often called opportunities)

or negative (true risk) and are driven by uncertainties related to outcomes

• E.g. what is the risk that the firewall change will expose us to a cyber-attach?

• Launching a 5th generation smart phone is less risky than being the first on the market

• Outcomes can deviate from the projection due to lack of knowledge and available data

• Not understanding risk makes an organization vulnerable. Risk is mitigated by performing a thorough risk analysis

• Risk Management has two parts: risk assessment where risks are identified and quantified and Risk Management where identified risks are assessed on an ongoing basis and mitigations applied as required



Page 63


The Service Lifecycle

The structure of the Service Lifecycle is an organizing framework. Processes describe how things change, whereas structure describes how they are connected. Structure determines behaviour. Without structure, it is difficult to learn from experience or use the past to educate for the future.

Specialization and coordination are necessary in the Lifecycle approach. Feedback and control between the functions and processes within and across the elements of the Lifecycle make this possible. The dominant pattern in the Lifecycle is the sequential progress starting from Service Strategy through Service Design, to Service Transition, to Service Operation and back to Service Strategy through Continual Service Improvement. That, however, is not the only pattern of action.

Every element of the Lifecycle provides points for feedback and control.

The combination of multiple perspectives allows greater flexibility and control across environments and situations. The Lifecycle approach mimics the reality of most organizations where effective management requires the use of multiple control perspectives. Those responsible for the design, development and improvement of processes for Service Management may adopt a process-based control perspective.

For those responsible for managing agreements, contracts and services may be better served by a

Lifecycle-based control perspective with distinct phases. Both these control perspectives benefit from systems thinking. Each control perspective can reveal patterns that may not be apparent from the other.



1 Introduction


The ITIL® Service Life Cycle

Slide 34

ITIL®

We have learned what services and service managament are, we know how to organize through implementation of processs, now we address how to apply this understanding to services throughout their lifecycle



Page 64


Service Life Cycles

The perceived value of any IT service is related to the demand for that IT service. On-going investment in running the service in a production environment or in carrying-out service improvements are justified as long as the demand for the service is high. If the demand for IT service has decreased due to changing business processes or availability of alternative services, IT assets constituting the service are under-utilized and could be re-used elsewhere. The service lifecycle ensures that services are continuously adjusted to the changing demand by making necessary course-corrections.



1 Introduction


Service Life Cycles

Slide 35

DDecommission Threshold under which a Service no longer adds enough value to justify the cost of operation. It should be improved to extend it’s economic Life Cycle or be decommissioned

Operate Period that the perceived value of the service justifies the investment

Build Period of initial investment and building of the Service. Build cost will be recovered in operations phase

Serv

ice

Dem

and

/ Va

lue

• All services go through a natural lifecycle• E.g. the fax was replaced by digital messaging services.

Traditional servers give way to virtualized and cloud-based hosting options. Organizations are challenged by competitors that not only have innovative services, but also innovate business models

• Technical innovations enable competitors to enter new markets and, with globalization, we see service lifecycles becoming compressed and demand more difficult to predict, forcing IT to be more adaptive and responsive

• To control this market volatility, IT is pressured to move away from being a technology maintenance organization and think in terms of being an agile service provider. ITSM allows IT to rapidly adapt and remain aligned to changing business demand

• The ITIL Service Lifecycle enables IT to manage change and continually demonstrate value to the business

• You can draw the next picture on the board if you want to visualize the lifecycle and value of a service in one picture.

DDecommission Threshold under which a Service no longer adds enough value to justify the cost of operation. It should be improved to extend it’s economic Life Cycle or be decommissioned

Operate Period that the perceived value of the service justifies the investment

Build Period of initial investment and building of the Service. Build cost will be recovered in operations phase

Serv

ice

Dem

and

/ Va

lue

SService Life Cycles



Page 65


The Service Life Cycle is divided into 5 Phases

The Service Lifecycle may be viewed as a phased lifecycle, where phases are:

• Defining strategy for the IT Service Management (SS)

• Design the services to support the strategy (SD)

• Implement the services in order to meet the designed requirements (ST)

• Support the services managing the operational activities (SO)

• The interaction between phases are managed through the Continual Service Improvement (CSI) approach, which is responsible for measuring and improving service and process maturity levels.

After a completion of all phases, a service period is concluded and another service period begins.



1 Introduction


The Service Life Cycle is divided into 5 Phases

Slide 36

ITIL®



Page 66




1 Introduction


Strategy Design Transition Operation


Introduction to the Service Life Cycle Stages

Slide 37

  Continuously improve services and service management practices throughout all life cycles to improve customer value

  Align IT Strategy to Business Strategy and define how you are going to help the business achieve their outcomes

  Design services and their supporting systems aligned with those outcomes

  Transition the Service into operation according to customer requirements

  Demonstrate value by operating the service to customer requirements and realize the business case

Describe the main purpose of each lifecycle phase and why it is important to service delivery.Stress that for the remainder of the course, we will describe each lifecycle phase in depth and the processes that ‘live’ within the individual phases.We will use and expand on the basic concepts that were introduced during this section as we move through the remainder of the course material.What makes ITIL unique from several other frameworks and standards is the full lifecycle orientation. Several other frameworks deal with only one or two of the phases within the full lifecycle. (e.g. Six Sigma deals primarily with improvements (CSI), Lean concentrates on operational activities, CMMI has components that touch on design, transition, operation and improvement, but is fairly light on strategic development)



Page 67




1 Introduction


Challenge

  Sample Exam Questions

Slide 38

ITIL®

Use this section to test the student’s retention of the material just covered. Consider bringing up each question, letting the class discuss the answer and then provide justification for the correct answer.Use this as a learning activity to introduce the learners to the format of the actual test and provide them with tips for taking the exam:

• Read the question carefully. Then read all the answers before choosing the BEST response. Do not go back and change an answer unless you misread the question!

• Of the 4 answers, one is likely to be a ‘silly’ answer that is easily discarded. One is likely to be eliminated by applying logic. This leaves two remaining. One is likely to be common practice and the other will be an ITIL-centric answer. The correct answer is always “what does ITIL say?’



Page 68


(Correct answers can be found on page 541-542.)



1 Introduction


What is the term for customers of IT services who work in the same organization as the service provider? Answer A.  Strategic customers B.  External customers C.  Valued customers D.  Internal customers

Slide 39

1. The correct answer is D: Internal customersBoth internal and external customers may be strategic, depending on their value to the service providerExternal customers are customers from outside the service provider’s organizationHopefully all customers are valued! Also, valued customers is also not a concept that we talked about during this section – although we did spend quite a bit of time talking about value of services.Customers of IT services from within the organization are internal.



Page 69





1 Introduction


Which of the following are sources of best practice? 1.  Academic research 2.  Internal experience 3.  Industry practices Answer A.  All of the above B.  1 and 3 only C.  1 and 2 only D.  2 and 3 only

Slide 40

2. The correct answer is A: All of the aboveThese type of questions are usually the most difficult to answer because of the structure. Read each answer and try to eliminate wrong answers as you go.Academic research, internal experience and industry practices are all sources of best practice.B – does not include internal experience. We expressly mentioned propriatary knowledge as a source of best practiceC – does not include industry practices – which is the definitive source of most best practice frameworks and standardsD – does not include academic research which is the method by which industry practices are analysed and quantified



Page 70





1 Introduction


Which one of the following is NOT a characteristic of a process? Answer A.  It is measureable B.  It delivers specific results C.  It responds to specific events D.  It is a structure within an organization

Slide 41

3. The correct answer is D: It is a structure within an organizationNote that this question is expressed in the negaitive. Stress to the learners to underline any words in upper case so they are certain which answer is expected. All processes have four characteristics:

• Measurable• Deliver specific results• Respond to specific events (have a trigger)• Have a specific customer



Page 71





1 Introduction


In which of the following areas would ITIL® complementary guidance provide assistance? 1.  Adapting best practice for specific industry

sectors 2.  Integrating ITIL® with other operating models Answer A.  Both of the above B.  Neither of the above C.  Option 1 only D.  Option 2 only

Slide 42

4. The correct answer is A: Both of the aboveComplementary guidance gives traction to the generic ITIL core by providing guidance for applying the framework to specific cases. As this includes specific industry segments and integration with other models and frameworks, both statements are true



Page 72





1 Introduction


Which of the following is NOT a source of best practice?

Answer A.  Standards B.  Technology C.  Academic research D.  Internal experience

Slide 43

5. The correct answer is B: TechnologyNote that again we have a question presented as a negativeStandards, academic research and internal knowledge are all good sources for best practice.ITIL views technology as a means for supporting best practice – tools and technologies are certainly not best practice in their own right



Page 73





1 Introduction


What is the term for a service delivered between two business units in the same organization? Answer A.  Strategic service B.  Delivered service C.  Internal service D.  External service

Slide 44

6. The correct answer is C: Internal serviceServices may be broken down as internal services (delivered to internal customers) or external servces (delivered to external customers)Strategic and delivered services were not concepts that we spoke about within this section.



Page 74





1 Introduction


From the perspective of the service provider, who is the person or group that agrees their service targets? Answer A.  The user B.  The customer C.  The supplier D.  The administrator

Slide 45

7. The correct answer is B: the customerThere are several stakeholder groups within ITSM.

• Users use services on a daily basis. • Customers are the group that ‘has the checkbook’.

This is the group responsible for agreeing services and targetts

• Suppliers and vendors provide the raw materials necessary for the service provider to produce services

• Administrator is not a concept we talked about when we discussed stakeholders within ITSM



Page 75




1 Introduction


Introduction

  Thank you for your attention

Slide 46

ITIL®



Page 77



2 Service Strategy



ITIL®

Service Strategy

Module 2

1 Slide

Explain the goals, objectives and value of Service Strategy using an example.Restaurant analogy:

• Challenge students to think about what they need to consider when opening a restaurant. Lead discussion in a strategic direction

• What may go wrong if you start by recruiting cooks and buying ovens?

• Consider what the customer wants:• What is the ‘service’ the customer wants? Food • Contrast a 5-star restaurant with a 4 month waiting

list and high price to a fast food restaurant. Both provide food, but the customers of each have different expectations and requirements

• How would you decide what type of restaurant will be most successful?

• How would you decide what would be on the menu?• What would you need to get your plan financed?• What are the risks of starting a restaurant without

strategic planning?• Service Strategy is about understanding customer

requirements and aligning your IT strategy with the needs of the customer (business-IT alignment)



Page 79



2 Service Strategy



= Process in scope of training

= Not in scope of training

= Function in scope of training

Business Relationship Management

Demand Management

Service Portfolio Management

Financial Management

IT Service Continuity

Management

Info Security Management

Supplier Management

Service Catalog Management

Design Coordination

Service Level Management

Capacity Management

Availability Management

Transition Planning &

Support

Change Management

Release & Deployment Management

Service Asset & Con guration Management

Event Management

Incident Management

Request Ful lment

Access Management

Knowledge Management

Problem Management



Service Validation &

Testing

Change Evaluation

Strategy Management for

IT Services

Service Desk




Introducing the Service Life Cycle

Slide 2

The ITIL Service Lifecycle is arranged in phases that cover the entire lifecycle of services. Service Strategy is the phase in which the service provider makes strategic decisions about what service management means to them, who their customers are, what services their customers need, and how to best provide these services.Each lifecycle is supported by several processes that are put in place to help accomplish the work that needs to be done. Stress that the processes are arranged as they are because the bulk of the process work in done in the lifecycle phase in which they are located. However, almost all of the processes actually span the entire lifecycle and provide data to and receive outputs from other phases.There are actually 5 processes within Service Strategy, however; only four of these will be discussed during the ITIL Foundation class:

• Business Relationship Management• Demand Management• Service Portfolio Managemant• Financial Management

All of these processes help t establish the service provider’s ITSM strategy, and information from these processes is used throughout the remainder of the service lifecycle.



Page 80



2 Service Strategy



Service Strategy – Main purpose First answer the WHY then the HOW question

How can a Service Provider be successful in a market which has alternatives?

Why have a Service Strategy? Creating a vision aligning to the Customer will ensure Long term survival

HHooww can a Service Provider demonstrate value to the business?

How can a Service Provider create Service Assets that support business outcomes?

Slide 3

Discuss the purpose of the Service Strategy lifecycle phase



Page 81


Service Strategy – Objectives

The objectives of Service Strategy include providing:

• An understanding of what strategy is

• A clear identification of the definition of services and the customers who use them

• The ability to define how value is created and delivered

• A means to identify opportunities to provide services and how to exploit them

• A clear service provision model, that articulates how services will be delivered and funded, and to whom they will be delivered and for what purpose

• The means to understand the organizational capability required to deliver the strategy

• Documentation and coordination of how service assets are used to deliver services, and how to optimize their performance

• Processes that define the strategy of the organization, which services will achieve the strategy, what level of investment will be required, at what levels of demand, and the means to ensure a working relationship exists between the customer and service provider.


2 Service Strategy



Understanding what strategy is

Clear identi cation of services and their customers

Ability to de ne how value is created and delivered

Identi cation of opportunities to provide services

A clear service provision model

Understanding the organizational capability required to deliver the strategy

Understanding how service assets are used to deliver services

Processes that de ne the strategy of the organization and support delivering that strategy

Service Strategy – Objectives

4 Slide

Detail the Service Strategy objectives



Page 82



2 Service Strategy



Service Strategy – Scope

5 Slide

Service strategy scoping consists of two aspects:

De ning a strategy whereby a service provider will deliver services to meet a customer’s business outcomes

De ning a strategy for how to manage those services



Page 83


Service Strategy – Value to the Business (1/2)

Support the ability to link activities performed by the service provider to outcomes that are critical to internal or external customers. As a result, the service provider will be seen to be contributing to the value (and not just the costs) of the organization.

Enable the service provider to have a clear understanding of what types and levels of service will make its customers successful and then organize itself optimally to deliver and support those services. The service provider will achieve this through a process of defining strategies and services, ensuring a consistent and repeatable approach to defining how value will be built and delivered that is accessible to all stakeholders

Enable the service provider to respond quickly and effectively to changes in the business environment, ensuring increased competitive advantage over time.

Support the creation and maintenance of a portfolio of quantified services that will enable the business to achieve positive return on its investment in services


2 Service Strategy



Service Strategy – Value to Business (1/2)

6 Slide

Supports linking activities to outcomes that are critical to customers Enables accurate understanding of the types & levels of service which will please the customers Enables quicker & e ective response to changes in the business environment (this contributes to establishing competitive advantages) Supports creating & maintaining a portfolio of quanti ed services which produce positive ROI

Detail value to the business from Service Strategy



Page 84


Service Strategy – Value to the Business (2/2)

Facilitate functional and transparent communication between the customer and the service provider, so that both have a consistent understanding of what is required and how it will be delivered.

Provide the means for the service provider to organize itself so that it can provide services in an efficient and effective manner.


2 Service Strategy



Service Strategy – Value to Business (2/2)

7 Slide

Customer Outcomes (examples)

5% Higher Productivity of

personnel

15% reduction in production cost of electric

guitars

95% of 20.000 Insurance claims

processed within 2 business days

Facilitates functional & transparent communication with the customer Provides improved e ciency and organization

• Link the student’s personal concept of value to Utility, Warranty and Perception

• Explain that utility and warranty are based on life experience and help the student understand that you need to understand the customer’s perspective to determine an optimal mix of utility and warranty requirements

• Example: Old fashioned land lines were very reliable (high level of warranty), however, they were not portable, did not allow access to apps, did not have other features of modern smart phones (high level of utility)

• Challenge students: which is better? Why?• Who gets to decide the correct mix of utility and warranty

for a product?• Lead them to conclude that IT cannot decide utility and

warranty of a service without taking into consideration the perception of the customer

• The services a service provider will deliver and the mix of utility and warranty that will be provided for those services is a strategic decision



Page 85


Service Value Definition

Service Value = Service Utility + Service Warranty

Service Utility defines the functionality of an IT service from the customer’s perspective (i.e., what the service does) and in terms of the increase in possible gains from the performance of the customer’s assets. Utility, as perceived by the customer, is the service attributes that have a positive effect on the performance of tasks associated with desired business outcomes. This means that the service is fit for purpose.

Service Warranty for a service provides the customer with a level of reassurance and guarantee to meet agreed upon requirements. Warranty will minimize possible losses for the customer due to variations in performance (examples of which may include: availability, capacity, continuity, security, etc.). Warranty will have a positive effect when available as needed in sufficient capacity. Being dependable in terms of continuity and security means the service is fit for use.

It is normal for customers to be sceptical about a service’s potential value when there is uncertainty surrounding the service output. Backing up the utility of a service with a warranty will insure the customer’s confidence.

If there is little or no difference in the market regarding the warranty, then the IT organization should use the utility criteria to differentiate itself. Utility alone is necessary but not sufficient; utility is backed up by warranty so that customers do not worry about possible losses due to poor performance or performance variations.


2 Service Strategy



De nition of value Service Value = Utility + Warranty

Service Value De nition

8 Slide

Performance supported?

Constraints removed?

Available enough?

Capacity enough?

Continuous enough?

Secure enough?

Perception is also an important factor in determining value

Fit for purpose?

Fit for use? Warranty

Utility

Value

Cement understanding by talking the student from left to right of this example:

• A server has no value to the customer if it does not contribute to the outcomes they desire

• Is your IT department doing work that cannot directly associate with customer outcomes?

• E.g. IT maintains desktops, but the business in ordering tablets. IT maintains servers, but customers are increasingly turning toward the cloud



Page 86


Value Creation through Services

Customers (i.e., the customers of IT) create value for their own customers through the services or products they offer. The means to offer these services is provided by their assets (later referred to as customer assets). IT organizations can, therefore, create value for their customers by enhancing the performance of these customer assets (through new or enhanced services).

By improving the outcome of the service’s impact on customer assets, the value of a service may then be measured. As seen previously, the value creation of a service is based upon the combined effect of its utility and warranty attributes. Value creation can then be increased by these two factors. Both are necessary, neither are sufficient alone.

Services can be of different types: they can maintain, increase or restore the performances of customer assets and, therefore, the customer outcomes.


2 Service Strategy



Value Creation through Services Service Assets improve IT Services, which improve customer Assets needed to achieve customer outcomes

Question: can you deliver an IT Service e ciently without knowing Customer Outcomes?

Insurance Claims application Services with high availability Production Automation IT Services Corporate Messaging Services

Customer resources

Financial capital Infrastructure Applications Information People

Customer capabilities

Management Organization Business Processes Knowledge People

95% of 20.000 Insurance claims processed within 2 business days 15% reduction in production cost of electric guitars 5% Higher Productivity of personnel

IT Service Assets

IT Service (examples)

Customer Assets

Customer Outcomes

(examples)

Improve performance

Improve performance

Improve performance

IT resources Financial capital Infrastructure Applications Information People

IT capabilities Management Organization Processes Knowledge People

Slide 9

Reiterate value concepts



Page 87


Service Value - Conclusion

Calculating the economic value of a service can sometimes be straightforward in financial terms. In other instances, however, it is harder to quantify the value although it may still be possible to qualify it. Value is defined not only strictly in terms of the customer’s business outcomes: it is also highly dependent on customer’s perceptions. Perceptions are influenced by attributes of a service that are indications of value, present or prior experiences with similar attributes, and relative endowment of competitors and other peers. Perceptions are also influenced by the customer’s self-image or actual position in the market, such as those of being an innovator, market leader, and risk-taker. The value of a service takes on many forms, and customers have preferences influenced by their perceptions.

Customers are reluctant to buy when there is ambiguity in the cause-and effect relationship between the utilization of a service and the realization of benefits. It is incumbent on service providers to demonstrate value, influence perceptions, and respond to preferences. Perceptions of value are influenced by expectations.

Focus on business outcomes over everything else is a critical advance in outlook for many service providers. It represents a shift of emphasis from efficient utilization of resources to the effective realization of outcomes. Customers do not buy services; they buy the fulfilment of particular needs.

This distinction explains the frequent disconnection between IT organizations and the businesses they serve. What the customer values is frequently different from what the IT organization believes it provides.


2 Service Strategy



Service Value – Conclusion

Calculating the economic value of a service can sometimes be straightforward in nancial terms

Value is not de ned strictly in terms of the customer’s business outcomes; it is also highly dependent on customer’s perceptions

Perceptions of value are in uenced by expectations

IT organizations must shift their emphasis from e cient utilization of resources to the e ective realization of customer outcomes

Slide 10

Explain the concepts, purpose, objectives and scope of Portfolio ManagementRestaurant analogy

• Have you ever been to a restaurant and ordered something to hear it is no longer offered? Someone decided that the demand for what your ordered is too low, the ingredients are too difficult to obtain or the cost of delivering the item is too high (however if people continue t request the item, or technology changes, the restaurant might reintroduce it to the menu)

• If we expect our restaurant to sell one pizza per week, does that justify investment in assets like ovens and capabilities? If we charge the customer for the actual cost to produce this one pizza, will the cost exceed the perceived value?

• Someone will need to concentrate on continuously monitoring what customers order, introducing new menu items and decommissioning menu items based on how customers value our services against the respective investment in providing that menu item

• In Service Strategy we defined that we need to continuously stay aligned with changing customer needs, and upgrade our capabilities to ensure that services are developed, operated and decommissioned based on informed decision making

• This alignment is a major goal of Portfolio Management



Page 88



2 Service Strategy



ITIL®


Purpose Objectives Scope The Service Portfolio

Slide 11

The Servie Portfolio is a strategic, internally facing document that describes at a high level the mix of services offered by the service provider and the investments that support these services



Page 89


Service Portfolio Management – Purpose

To ensure that the service provider has the right mix of services to balance the investment in IT with the ability to meet business outcomes.

The Service Portfolio represents the commitments and investments made by a service provider across all customers and marketplaces, including present contractual commitments, new service development and ongoing Service Improvement Programs. The Service Portfolio aims to answer the following questions:

• Why should a customer buy these services?

• Why should they buy these services from our IT organization?

• What is the pricing and chargeback model?

• How should the IT organization’s resources and capabilities be allocated?


2 Service Strategy



Service Portfolio Management – Purpose

12 Slide

To ensure that the service provider has the right mix of services to balance the investment in IT with the ability to meet business outcomes

The Service Portfolio represents the commitments and investments made by a service provider across all customers and marketplaces

The Business (Customers)

Business unit 1

Corporate

Business unit 2 Sales

Business unit 3

HR

Detail the objectives of Portfolio Management



Page 90


Service Portfolio Management – Objectives (1/2)

• Provide a process and mechanisms to enable an organization to investigate and decide on which services to provide, based on an analysis of the potential return and acceptable level of risk

• Maintain the definitive portfolio of services provided, articulating the business needs each service meets and the business outcomes it supports

• Provide a mechanism for the organization to evaluate how services enable them to achieve their strategy, and to respond to changes in their internal or external environments

• Control which services are offered, under what conditions and at what level of investment


2 Service Strategy



Service Portfolio Management – Objective (1/2)

To determine which services to provide based on potential return & acceptable risk

To maintain the de nitive portfolio of services provided

To evaluate how services achieve their strategy, and to respond to changes

To control which services are o ered, under what conditions and at what level of investment

13 Slide

The portfolio itself includes three aspects: • The Service Pipeline includes information on new or

significantly changed services that are not yet offered in the live environment

• The Service Catalog includes information on all services currently offered in the live environment

• The Portfolio also contains information on retired services. This information is retained for historical purposes or may be used in the event that services are reinstated due to increased demand, technology improvements that increase the ROI of a service, etc



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Service Portfolio Management – Objectives (2/2)

• Track the investment in services throughout their lifecycle, thus enabling the organization to evaluate its strategy, as well as its ability to execute against that strategy.

• Analyze which services are no longer viable and when they should be retired.


2 Service Strategy



Service Portfolio Management – Objective (2/2)

Slide 14

To track the investment in services throughout their lifecycle

To analyze which services are no longer viable and when they should be retired

Explain the concepts, purpose, objectives and scope of Financial Management to include budgeting, accounting and chargingWithin Financial Management, budgeting and account are always required activiites. Direct charging of customers for services is an optional activity. Often internal servce providers do not directly charge their customers (IT costs are paid via overhead). External service providers are much more likely to charge their customers for services provided.Restaurant Anology:

• One of the aspects that Financial Management deals with is strategies for charging customers for the services they use.

• In a restaurant do you get presented with a bill that has been calculated based on all expected costs for the restaurant throughout the year, divided by the number of clients? No. However, this is often how IT changes there customer. (“Peanut butter spread” charging). Perhaps a better model is to ask the customer to pay only for what they actually use (“Pay by the drink” charging).



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Service Portfolio

The Service Portfolio Management approach helps prioritize investments and improve the allocation of resources. The Service Portfolio represents all the resources presently engaged or being released in various phases of the Service Lifecycle. The Service Portfolio is divided into three sections: the Service Catalog, the Service Pipeline and the Retired Services.

Service Portfolio: A Service Portfolio is the expression of an IT organization’s Service Strategy. It represents all the resources presently engaged or being released in the various phases of the Service Lifecycle. The Service Portfolio includes the Service Catalog and the Service Pipeline. The Service Portfolio also contains the Business Cases on which we will elaborate later in this chapter

Service Catalog: A subset of the Service Portfolio. The Service Catalog consists of active services in the Service Operation phase and are visible to the customers. Resources are engaged to fully support these activities. The Service Catalog is important for strategy because it represents the present capabilities of the IT organization.

Service Pipeline: Also a subset of the Service Portfolio, the Service Pipeline consists of the services under development for a given market space or for a particular customer


2 Service Strategy



Service Portfolio Management – Scope

Service Portfolio

Continual evaluation of Value on Investment (VOI) against the business case

Keep track of retired services and their original customer requirements for future re-use and knowledge management

Example of possible Service statuses as services progress through the Service life-cycle and are tracked and managed within the Service Portfolio. In this example the status “Production” means that the Service is visible to customers in the “Service Catalog” (see Service Design)

Service description and Chartering of Service based on expected Value on Investment of the business case

Service Portfolio

Service Pipeline

Service Catalog

Retired Service

Future service o erings

Present service o erings

Past service o erings

Production Retired Test Design Charter Approve Analyze De ne

Slide 15

Describe the purpose, objectives and scope of Financial Management



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2 Service Strategy




Purpose Objectives Scope The Business Case

ITIL®

Slide 16

A business case is a decision support tool. By detailing the rationale for doing something (or not doing something), the business is better equipped to make informed decisionsBusiness cases usually include a financial analysis (quantitative aspects like ROI) as well as other qualitative aspects like VOI (such as good will, employee morale, organizational reputation, etc.



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Financial Management – Purpose

The purpose of financial management for IT services is to secure the appropriate level of funding to design, develop and deliver services that meet the strategy of the organization. At the same time financial management for IT services is a gatekeeper that ensures that the service provider does not commit to services that they are not able to provide. Financial management for IT services identifies the balance between the cost and quality of service and maintains the balance of supply and demand between the service provider and their customers.

IT organizations are finding they are quite similar to market-facing companies. They share the need to analyze, package, market and deliver services just as any other business would. They also share a common and increasing need to understand and control factors of supply and demand, and to provision services as cost-effectively as possible while maximizing visibility into related cost structures. This commonality is of great value to the business as IT seeks to drive down cost while improving its service offerings.

Financial management consists of three main processes:• Budgeting: This is the process of predicting and controlling the income and expenditure

of money within the organization. Budgeting consists of a periodic negotiation cycle to set budgets (usually annual) and the monthly monitoring of the current budgets.

• Accounting: This is the process that enables the IT organization to account fully for the way its money is spent (particularly the ability to identify costs by customer, by service and by activity). It usually involves accounting systems, including ledgers, charts of accounts, journals etc. and should be overseen by someone trained in accountancy.

• Charging: This is the process required to bill customers for the services supplied to them. This requires sound IT accounting practices and systems.


2 Service Strategy



Financial Management – Purpose and Scope

Slide 17

Purpose Process Scope

Secure the appropriate level of funding to design, develop and deliver services that meet the strategy of the organization

Act as a gatekeeper that ensures that the service provider does not commit to services that they are not able to provide

Identifying the balance between the cost and quality of service and maintains the balance of supply and demand between the service provider and their customers

Budgeting

Accounting

Charging

• How do you establish a relationship with a customer?• An IT organization cannot deliver and support all services

imaginable and be competitive • Business stakeholder can be unaware of service provider

strategic choices• Customer expectations must be managed so that a

realistic picture is presented of what is possible and to detail the associated costs and consequences

• Challenge the learner:• When an IT customer asks you for something you

do not offer or support, do you say, “No we don’t do that” ; do you say “Yes, I will do my best”; or do you say “Yes, I will gladly help you. This is the process for getting your new service approved and I will introduce you to the Business Relationship Manager who will help you”?

• The BRM can help outline the benefits and costs associated with establishing a new service and help to manage customer expectations



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Financial Management – Objectives

The objectives of financial management for IT services include:• Defining and maintaining a framework to identify, manage and communicate the cost of

providing services.• Evaluating the financial impact of new or changed strategies on the service provider.• Securing funding to manage the provision of services.• Facilitating good stewardship of service and customer assets to ensure the organization

meets its objectives. This should be done together with service asset and configuration management and knowledge management.

• Understanding the relationship between expenses and income and ensuring that the two are balanced according to the organization’s financial policies.

• Managing and reporting expenditure on service provision on behalf of the organization’s stakeholders.

• Executing the financial policies and practices in the provision of services.• Accounting for money spent on the creation, delivery and support of services.• Forecasting the financial requirements for the organization to be able to meet

its service commitments to its customers, and compliance with regulatory and legislative requirements.

• Where appropriate, defining a framework to recover the costs of service provision from the customer.


2 Service Strategy



Financial Management – Objectives

Slide 18

De ne & maintain a cost framework

Evaluate nancial impact

Secure funding

Facilitate good stewardship

Understand relationship between expenses and income

Managing expenditure

Execute nancial policies

Accounting

Forecasting

Recovering costs

Detail the purpose of BRM



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Financial Management – Business Case

A Business Case should articulate the reason for undertaking a service or a process improvement initiative. A Business Case is a model of what a service is expected to achieve. It is the justification for pursuing a course of action to meet stated organizational goals. As such, it acts as the link back to Service Strategy and funding. It is the assessment of a service investment in terms of potential benefits and the resources and capabilities required to provision and maintain it.

A Business Case typically has the following structure:IntroductionPresents the business objectives addressed by the Service Management initiative

Methods and AssumptionsDefines the boundaries of the Business Case such as the time period, the costs and the benefits

Business impactsThe financial and non-financial Business Case results, such as faster time to market, better customer retention or bigger market share

Risks and ContingencyThe probability that the alternative results will emerge

RecommendationsSpecific actions recommended


2 Service Strategy



Financial Management – Business Case

“you are free to make your choices but you are not free to choose the consequences”

- Stephen R. Covey

Slide 19

A Business Case is a decision support and

planning tool and model that projects

the likely consequences of a

business action Consequences/

bene ts can take on qualitative and

quantitative dimensions

A nancial analysis, for example, is frequently

central to a sound Business Case

Detail BRM objectives



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2 Service Strategy




Purpose Objectives Scope

ITIL®

Slide 20



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Business Relationship Management – Purpose

The purpose of the business relationship management process is two-fold:

To establish and maintain a business relationship between the service provider and the customer based on understanding the customer and its business needs.

To identify customer needs and ensure that the service provider is able to meet those needs as business needs change over time and between circumstances. Business relationship management ensures that the service provider understands the changing needs.

Business relationship management also assists the business in articulating the value of a service.

Put another way, business relationship management ensures that customer expectations do not exceed what they are willing to pay for, and that the service provider is able to meet the customer’s expectations before agreeing to deliver the service.


2 Service Strategy



The purpose of the business relationship management process is two-fold:

Business Relationship Management – Purpose

21 Slide

To establish and maintain a business relationship between the service provider and the customer based on understanding the customer and its business needs

To identify customer needs and ensure that the service provider is able to meet those needs as business needs change over time

Explain the concepts, purpose objectivs and scope of Demand ManagementRestaurant anology:

• Now that we have opened our restaurant, it would be wise to find out how to effectively use our restaurant space as we only have limited amount of tables available

• We can analyze our client behavior throughout the day and probably predict an increase in visitors at lunch and dinner. This will alow us to effectively schedule the number of kitchen and wait staff needed at various times during the day

• To limit the amount of people we have to turn away at lunch or dinner we can incentivize clients to visit outside peak hours (e.g happy hour specials). The benefit for us is that we can serve additional customers without having to invest in extra capacity

• In Demand Management, we call this analysis of Patterns of Business Activity

• In addition, we note that some customers have different demand patterens. For example, some customers eat smaller portions or some prefer wine over beer. Groping these types of demand for services into User Profiles can help us establish a more robust picture of demand for our services



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Business Relationship Management – Objectives (1/2)

• Ensure that the service provider understands the customer’s perspective of service, and is therefore able to prioritize its services and service assets appropriately

• Ensure high levels of customer satisfaction, indicating that the service provider is meeting the customer’s requirements

• Establish and maintain a constructive relationship between the service provider and the customer based on understanding the customer and their business drivers

• Identify changes to the customer environment that could potentially impact the type, level or utilization of services provided

• Identify technology trends that could potentially impact the type, level or utilization of services provided


2 Service Strategy



Ensure high levels of customer satisfaction, indicating that the service provider is meeting the customer’s requirements

Establish and maintain a constructive relationship between the service provider and the customer based on understanding the customer and their business drivers

Identify changes to the customer environment that could potentially impact the type, level or utilization of services provided


Slide 22



Page 100



• Establish and articulate business requirements for new services or changes to existing services

• Ensure that the service provider is meeting the business needs of the customer

• Work with customers to ensure that services and service levels are able to deliver value

• Mediate in cases where there are conflicting requirements for services from different business units

• Establish formal complaints and escalation processes for the customer.


2 Service Strategy




Slide 23

Establish and articulate business requirements for new services or changes to existing services

Work with customers to ensure that services and service levels are able to deliver value

Mediate in cases where there are con icting requirements for services from di erent business units

Establish formal complaints and escalation processes for the customer



The correct answer is A: The value of a serviceValue is defined by utility, warrenty and customer perceptions

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2 Service Strategy



Business Relationship Management – Scope

24 Slide

Business outcomes that the customer wants to achieve

Services that are currently o ered to the customer, and the way in which they are used by the customer

Technology trends that could impact current services and the customer, and the nature of the potential impact

Reviewing, measuring and improving performance of Service Design activities

Levels of customer satisfaction, and what action plans have been put in place to deal with the causes of dissatisfaction



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2 Service Strategy



Business Relationship Management – Scope

25 Slide

How to optimize services for the future

How the service provider is represented to the customer. This at times means raising concerns around commitments that the business made to IT but is not meeting



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2 Service Strategy



Challenge

Sample Exam Questions

26 Slide

ITIL®



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2 Service Strategy



Which of the following can be found in the Service Portfolio? 1. Service Assets 2. Service Pipeline 3. Retired Services 4. Service Catalog

Answer A. 1 and 4 only B. 1, 2 and 3 only C. 2, 3 and 4 only D. All of the above

27 Slide

1. The correct answer is C: 2, 3 and 4 onlyAs discussed in the section on Service Portfolio Management, the Service Portfolio contains the service pipeline, the service catalog and retired services.



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2 Service Strategy



Which of the following types of service should be included in the scope of service portfolio management? 1. Those planned to be delivered 2. Those being delivered 3. Those that have been withdrawn from service

Answer A. 1 and 3 only B. All of the above C. 1 and 2 only D. 2 and 3 only

28 Slide

2. The correct answer is B: All of the aboveThe service portfolio includes items in the pipeline, those in the service catalog as well as retired services



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2 Service Strategy



What do customer perceptions and business outcomes help to de ne? Answer A. The value of a service B. Governance C. Total cost of ownership (TCO) D. Key performance indicators (KPIs)

29 Slide

3. The correct answer is A: The value of a serviceValue is defined by utility, warrenty and customer perceptions



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2 Service Strategy



What should a service always deliver to customers? Answer A. Applications B. Infrastructure C. Value D. Resources

30 Slide

4. The correct answer is C: ValueServices deliver value in the eyes of the customer.The other answers given for this question may be viewed as components necessary to provide the service



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2 Service Strategy



Which of the following provide value to the business from service strategy? 1. Enabling the service provider to have a clear

understanding of what levels of service will make their customers successful

2. Enabling the service provider to respond quickly and e ectively to changes in the business environment

3. Reduction in the duration and frequency of service outages

Answer A. All of the above B. 1 and 3 only C. 1 and 2 only D. 2 and 3 only

31 Slide

5. The correct answer is C: 1 and 2 onlyThis question specifically askes about value from Service Strategy. Any correct answers will contain data about processes, activities and outcomes that come from that lifecycle phase.Answer 3 details the objectives of Incident or Problem Management – both Service Operation processes – so this is not a correct answer.



The correct answer is A: Both of the aboveBRM has two major objectives, to establish and maintain the customer relationship and to identify customer requirements and vet these needs with the service provider

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2 Service Strategy



Which of the following identify the purpose of business relationship management? 1. To establish and maintain a business

relationship between service provider and customer

2. To identify customer needs and ensure that the service provider is able to meet these needs

Answer A. Both of the above B. 1 only C. 2 only D. Neither of the above

32 Slide

6.



The correct answer is B: The rsult of carrying out an activity, following a process or delivering an IT serviceStress the difference between output (an intermedate result) and outcome (the final result).Outputs contribute to realization of the outcome, but the outcome, which supports the customer mission, is what is of interest to the customer.

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2 Service Strategy



Which of the following is the correct de nition of an outcome? Answer A. The results speci c to the clauses in a service level

agreement (SLA) B. The result of carrying out an activity, following a

process or delivering an IT service C. All the accumulated knowledge of the service

provider D. All incidents reported to the service desk

33 Slide

7.



The correct answer is A: All of the aboveAll three of these objectives are supported by activities within Service Strategy

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2 Service Strategy



Which of the following provide value to the business from service strategy? 1. Enabling the service provider to have a clear

understanding of what levels of service will make their customers successful

2. Enabling the service provider to respond quickly and e ectively to changes in the business environment

3. Supporting the creation of a portfolio of quanti ed services


34 Slide

8.



The correct answer is D: The servie provider used an established business relationship with the customer to identify customer needsBRM has two major objectives: to establish and maintain a relationship with the customer and to assess customer requirements and ensure the service provider is able to meet these needs

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2 Service Strategy



What is the primary focus of Business Relationship Management? Answer A. Management, control and prediction of the

performance, utilization and capacity of individual elements of IT technology

B. Review of all capacity supplier agreements and underpinning contracts with supplier management

C. Management, control and prediction of the end-to-end performance and capacity of the live, operational IT services

D. The service provider used an established business relationship with the customer to identify customer needs

35 Slide

9.



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2 Service Strategy



Service Strategy

Thanks for your attention

36 Slide

ITIL®



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3 Service Design



Service Design

Module 3

Slide 1

ITIL®

Restaurant Analogy:• During Service Strategy we thought about what type of

restaurant to open. After doing market research, you determined that an underserved market in your area is a mid-range, informal neighborhood Italian restaurant with a nice interior that does not offer pasta. (There is another restaurant a block away that recently won an award for the high quality of their pasta dishes).

• You have recruited the best pizza cook in the city (strategic asset). Now you want to develop a nice offering of pizzas for the menu and plan for the other aspects of your restaurant

• Break the class in groups to discuss• What types of pizza will you put on your menu• Lead the class to understand they need to involve the

customer in deciding what should be on the menu (Customer centric rather than IT centric)

• What do you need to do to meet customer requirements about the rest of the restaurant experience?

• Lead the class to understand there is more to the experience than just the food:• Attractiveness of restaurant• Politeness of wait staff• Comfort of the seats• Waiting time for a meal• Advice on the menu• Cleanliness of the silverware



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3 Service Design




Demand Management




Management


Supplier Management


Design Coordination


Capacity Management



Support

Change Management



Event Management

Incident Management

Request Ful lment

Access Management


Problem Management




Testing

Change Evaluation


IT Services

Service Desk





Slide 2




Service Design is a planning phase. In this phase we are putting together plans for the services we will build. We will be looking at all aspects necessary for a comprehensive design and will be developing a package of documents that will be passed into the Service Transition phase to allow the service to be built, tested and introduced into the live environment.Service Design contains 8 processes:

• Design Coordination• Service Level Management• Capacity Management• Availability Management• IT Service Continuity Management• Information Security Management• Supplier Management• Service Catalog Management

As is true for the majority of the ITIL processes, even though these processes do the bulk of their work within the Design phase, they are also applicable across the full service lifecycle.



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3 Service Design



Service Design – Main Purpose

Slide 3

How can the service provider ensure a holistic results-driven approach to design?

Why do we spend time on Service Design? To deliver high-quality, cost e ective services and to ensure that the business objectives are being met!

How can the service provider ensure functional as well as management and operational elements are addressed?

How can the service provider adopt and implement standardized approaches to service design?

First answer the WHY then the HOW question Detail the purpose of the Service Design lifecycle phaseStress that it becomes more and more expensive to correct mistakes the farther into the development lifecycle you more – so doing a good job in design will forestall problems that could have arisen once we enter Transition or OperationDesign looks at total cost of ownership (TCO). We need to take this holistic approach to design to build in efficiencies and produce a service that is easy to maintain and to run.



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Service Design – Objectives

Service Design is about designing appropriate and innovative IT services—including their architectures, processes, policies and documentation—to meet current and future agreed upon business requirements, through the following objectives:

• Design services to deliver more effective and efficient IT and business solutions to satisfy business objectives

• Reduce, minimize or constrain the long-term costs of service provision• Design efficient and effective processes for the design, transition, operation and

improvement of high quality IT services to manage services through their lifecycle• Design secure and resilient IT infrastructures• Design measurement methods and metrics for assessing the effectiveness and efficiency

of the design processes and their deliverables• Produce and maintain IT plans, processes, policies, architectures, frameworks

and documents• Develop the skills and capability within IT• Contribute to the improvement of the overall quality of IT services within the imposed

design constraints, especially by reducing the need for reworking and enhancing services

In relation to the Value statement from Service Strategy (Value = Utility + Warranty) , Service Design focusses on the warrenty aspects of the service value. It will manage the aspects: is there enough availability; capacity; security and continuity. In other words, fit for use


3 Service Design



Service Design – Objectives

Slide 4

Design services that satisfy business objectives

Minimize overall costs of service provision

Design secure and resilient IT infrastructures

Design measurement methods and metrics for assessing design processes and their deliverables

Produce and maintain IT plans, processes, policies, architectures, frameworks and documents

Contribute to improvement of quality of IT services by reducing need for rework

Detail the objectives of Service Design



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Service Design – Value to the Business

With good Service Design it will be possible to deliver high-quality, cost-effective services and to ensure that the business objectives are being met.

The following benefits are a result of a good Service Design practice:• Reduced Total Cost of Ownership (TCO): Cost of ownership can only be minimized if all

aspects of services, processes and technology are designed properly and implemented according to the design.

• Improved alignment, quality and consistency of service: New or changed services match business needs, with services designed to meet the requirements of the business and both service and operational quality will be enhanced.

• Easier implementation of new or changed services: As there is integrated and full Service Design and the production of comprehensive Service Design Packages

• More effective service performance: Incorporation and recognition of Capacity, Financial Availability and IT Service Continuity plans will improve service performance.

• Improved IT governance: Effective IT governance will assist with the implementation and communication of a set of controls

• More effective Service Management and IT processes: Processes will be designed with optimal quality and cost effectiveness. Improved information and decision-making:

• More comprehensive and effective measurements and metrics will enable better decision-making and continual improvement of Service Management practices in the design stage of the Service Lifecycle.


3 Service Design



Service Design – Value to Business

Slide 5

Reduced Total Cost of Ownership (TCO) Improved alignment, quality and consistency of service Easier implementation of new or changed services More e ective service performance Improved IT governance More e ective Service Management and IT processes



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The “Four Ps”

Many designs, plans and projects fail due to a lack of preparation and management. The implementation of ITIL® Service Management as a practice is about preparing and planning the effective and efficient use of the “Four Ps”:

People

Users, customers, IT staff, and managers are all considered “people.” Communication, training and clear definitions of roles and responsibilities for all parties involved are essential.

This aspect of the “Four Ps” is concerned with the “soft” side of IT. Does staff actually have the correct skills, capabilities and knowledge to perform its roles? Is there a focus on effective communication between all stakeholders (IT staff, customers, users and other stakeholders)?

Processes

“Processes” is where ITIL® enters the design mechanism. It relates to the end-to-end delivery of services based on process flows. The ITIL® processes are covered as a phased lifecycle.


3 Service Design



Implementing Service Management as a Practice

Slide 6

The scope of Service Design covers four P’s Implementing ITSM as a practice is about preparing and planning the e ective and e cient use of the four P’s

ITSM processes

covering the service

lifecycle and aligned to business objectives

E cient service

management tooling enables e cient process

execution

Suppliers integrated with our

processes and aligned to business

goals

Motivated professionals who enable

the IT strategy to achieve it's objectives

PROCESS PRODUCT PARTNER PEOPLE

The 4 P’s are highly important concept. When we look at designing, we need to ensure we understand requirements for each aspect. This concept support holistic designRestaurant analogy

• What may happen in your restaurant if you do not take each of these aspects into consideration?

• Process – like recipes and customer service guidelines, cash register process

• Product – kitchen equipment, ovens, knives, plating of menu items

• Partner – suppliers of ingredients, cleaning service, external marketing firm

• People – recruiting, training



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Products

Tools and technology have come a long way since the evolution of ITIL®. There are now a number of tools available to IT organizations that are considered “ITIL® compatible” and have been developed to complement IT Service Management procedures. They should be regarded as their name suggests, as a tool that can assist in the implementation and running of IT services; however, simply using one of these tools does not suggest compliance with ITIL® standards.

Products do also refer to the products we deliver to our customers as in IT Services. In collaboration with People, Processes and Partners it helps us to identify the capabilities we need to manage or develop to deliver the desired output.

Partners

Suppliers and the management of suppliers, partners, manufacturers and vendors are essential to the provision of quality IT services.

Note: It is important to remember that only people can become ITIL® certified. Vendors, suppliers,tools and products cannot become ITIL® certified. Organisations can be certified in ISO related standards as ISO20000 for Service Management and ISO 27001 for security etc.


3 Service Design




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Service Design Aspects – 5 DIMENSIONS

An overall integrated approach is adopted to the design activities, and covers the following five major aspects of design:

1. The design of the service solutions, including all the requirements, resources and capabilities needed and agreed upon

There are many activities that must be completed within the Service Design stage for a new or changed service. A formal and structured approach is required to produce the new service at the right cost, quality and within the right timeframe. The main areas that must be considered within the design of the service solution should include:

• Analysis of the existing IT services and infrastructure, and formulation of alternative service solutions

• Design of the service solutions to the new requirements

• Review of the existing IT services

• Ensuring that the contents of the Service Acceptance Criteria (SAC) are incorporated and the required achievements are planned into the initial design.


3 Service Design



An integrated, holistic approach to design should cover the 5 aspects of service design If any one aspect is changed, it must be checked against each other aspect to ensure integration and consistency

Holistic Service Design

Slide 7

Service solutions for new or

changed services

Required processes

Measurement methods and

metrics

Technology architectures and

management architectures

Management information systems and

tools 5 Aspects of

Service Design

Another key Service Design conceptAll five aspects must be addressed during service design to arrive at a truly holistic design. If one aspect is changed, all must be revisited to ensre consistency.Note that the key word in the 5 aspects may be arranged to spell the word “STAMP” (put your stamp on service design). This is a great numonic for helping the students to remember the 5 Aspects of Servce Design:

• S – Solutions• T - Systems and Tools• A - Architectures• M -Measurement and Metrics• P -Process



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2. The design of Service Management systems and tools, especially the Service Portfolio, for the management and control of services throughout their lifecycle

The most effective way to manage all aspects of services throughout their lifecycle is by using appropriate management systems and tools to support and automate efficient processes.

The Service Portfolio is the most critical management system used to support all processes and describes a provider’s services in terms of business value. It articulates business needs and the provider’s response to those needs. By definition, business value’s terms correspond to market’s terms, providing a means for comparing service competitiveness across alternative providers.

3. The design of the technology and management architecture and tools required to provide the services

The architectural design activities within an IT organization are concerned with providing the overall strategic “blueprints” for the development and deployment of an IT infrastructure and a set of applications and data, which satisfy the current and future needs of the business.

Although these aspects underpin the delivery of quality IT services, they alone cannot deliver quality IT services, and it is essential that the people, process and partner/supplier aspects surrounding these technological components (products) are also considered. In essence, architectural design can be defined as: “The development and maintenance of IT policies, strategies, architectures, designs, documents, plan and processes for the deployment and subsequent operation and improvement of appropriate IT services and solutions throughout an organization.”

Some terms are used in many different contexts. In this context they are defined as:

• Architecture: The fundamental organization of a system embodied in its components, their relationship’s to each other and to the environment, and the principles guiding its design and evolution.

• System: A collection of components organized to accomplish a specific function or set of functions.

4. The design of the processes needed to design, transition, operate and improve the services

A process model enables understanding and helps to articulate the distinctive features of a process (a structured set of activities designed to accomplish a specific objective). A process takes one or more inputs and converts them to defined outputs. A process includes all of the roles, responsibilities, tools and management controls required to reliably deliver the outputs.

A process may also define or revise policies, standards, guidelines, activities, processes, procedures and work instructions if they are needed. Process control can be defined as: The activity of planning and regulating a process, with the objective of performing a process in an effective, efficient and consistent manner.


3 Service Design




Page 125


5. The design of the measurement systems, methods and metrics for the services, the architectures and their constituent components and the processes

In order to manage and control the design processes they must be monitored and measured. This is true for all aspects of the design processes.

There are four types of metrics that may be used to measure the capability and performance of processes:

• Progress: Milestones and deliverables in the capability of the process

• Compliance: Compliance of the process to governance requirements, regulatory requirements and compliance of people to the use of the process

• Effectiveness: The accuracy and correctness of the process and its ability to deliver the desired result

• Efficiency: The productivity of the process, its speed, throughput and resource utilization


3 Service Design




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Service Design Package

• Defines a set of design contraints

• This package is passed to Service Transtition


3 Service Design



Service Design Package

Slide 8

Produced during the design phase An SDP is produced for each new IT service, major change, removal of a service or change to the SDP itself Passed to Service Transition Includes requirements, service design, organizational readiness assessment, service lifecycle plan

Improve performance

Improve performance

Improve performance

A document or set of documents de ning all aspects of an IT service and its requirements through each stage of its lifecycle

The major output from the Service Design phase is the SDP. This document or set of documents is passed to Service Transition (and later to Service Operation) and will provide all the information needed to build, test, implement, provide early life support and operate the service in the live environmentChallenge the learner:

• How much of the SDP content is needed by service operation before launch when services are transitioned?

• It projects often deliver technology and other artifacts, forgetting that Service Operation need to have or develop strategic assets to achieve service objectives

• Specifically, IT projects must assess the impact of service introduction on existing processes, people (training and skills), products (service management tooling) and supporting partners

• Having a complete SDP and carefully transitioning all aspects prior to delivery to operation is necessary to ensure that the service can be delivered in an efficient and effective manner



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When designing a service, the customer’s needs must be translated into attributes of that service. However, designers are not always able to design a service without any consideration for possible constraints. These constraints come from the business and Service Strategy and cover many different areas, as illustrated in the above diagram. These imposed constraints unfortunately mean that designers are not always able to design the most appropriate solution for the business.

The most obvious constraint is the financial one. There may be insufficient budget available for the most appropriate solution, therefore, a less expensive alternative service would have to be identified and agreed upon with the business. The designer can only provide the solution that fits within all of the currently known constraints. The alternative is to renegotiate some of the constraints (e.g., obtain a larger budget).

Clearly, other constraints must be considered along with financial constraints and many of these may be external factors. These may include compliance with relevant standards and regulations, capability constraints, resource constraints and contractual obligations. The designers must recognize the fact that they are free to design solutions, but that they are working in an environment where many external factors may influence the design. It is essential that all designers recognize these constraints and ensure that the designs and solutions they produce have all of the necessary controls and capability within them.

The Service Design Package (SDP) defines a set of design constraints against which the service release and new or changed service will be developed and built. This package is then passed from Service Design to Service Transition, and details all aspects of the service (and its requirements) through all of the subsequent stages of its lifecycle. A Service Design Package (SDP) is produced during the design stage for each new service, major change to a service, removal of a service, or changes to the Service Design Package itself. Validation and testing steps examine the service at its boundaries to check that the design constraints are correctly defined, particularly if there is a design improvement to add or to remove a constraint.


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Design Coordination

Slide 9

ITIL®

Design Coordination exists to ensure that all the moving parts within the Service Design phase are aligned:

• Budgets• Deconflict important resources• Manage multple projects

Design coordination is also the process that is responsible for producing the SDP and providing it to Service Transition



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Design Coordination – Purpose

The purpose of the design coordination process is to ensure the goals and objectives of the service design stage are met by providing and maintaining a single point of coordination and control for all activities and processes within this stage of the service lifecycle.


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Design Coordination

SD Processes Aspects of Service Design

Service solutions for new or changed services

Management information systems and tools

Technology architectures and management architectures

Measurement methods and metrics

Required processes

Service catalog Management


Capacity Management


IT Service Continuity Management


Supplier Management

Ensure the goals and objectives of the service design stage are met by providing and maintaining a single point of coordination and control for all activities and processes within this stage of the service lifecycle

Design Coordination – Purpose

Slide 10

Detail the purpose of Design Coordination



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Design Coordination – Objectives

The objectives of the design coordination process are to:

• Ensure the consistent design of appropriate services, service management information systems, architectures, technology, processes, information and metrics to meet current and evolving business outcomes and requirements

• Coordinate all design activities across projects, changes, suppliers and support teams, and manage schedules, resources and conflicts where required

• Plan and coordinate the resources and capabilities required to design new or changed services

• Produce service design packages (SDPs) based on service charters and change requests

• Ensure that appropriate service designs and/or SDPs are produced and that they are handed over

• Ensure that all service models and service solution designs conform to strategic, architectural, governance and other corporate requirements


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Design Coordination – Objectives

Slide 11

Ensure consistent design of services, tools, architectures, metrics and processes

Coordinate all design activities across projects; mitigate con icts where required

Plan and coordinate resources and capability

Produce Service Design Packages

Ensure service models and solution designs conform to strategic requirements

Improve the e ectiveness and e ciency of service design activities

Detail the objectves of Design Coordination



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Design Coordination – Scope

The scope of the design coordination process includes all design activity, particularly all new or changed service solutions that are being designed for transition into (or out of, in the case of a service retirement) the live environment.

Some design efforts will be part of a project as a result from an accepted business case out of the pipeline in Service Strategy, whereas others will be managed through the change process alone without a formally defined project. Some design efforts will be extensive and complex while others will be simple and swift. Not every design activity requires the same level of rigor to ensure success, so a significant number of design efforts will require little or no individual attention from the design coordination process. Most design coordination process activity focuses around those design efforts that are part of a project, as well as those that are associated with changes of defined types. Typically, the changes that require the most attention from design coordination are major changes, but any change that an organization believes could benefit from design coordination may be included.

Each organization should define the criteria that will be used to determine the level of rigor or attention to be applied in design coordination for each design. Some organizations take the perspective that all changes, regardless of how small in scope, have a ‘design’ stage, as it is important that all changes have clear and correct plans for how to implement them. In this perspective, the lifecycle stage of service design still occurs, even if the designs for simple or standard changes are usually pre-built and are reused frequently and quickly. Sometimes the stage is quite complex.


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Design Coordination – Scope

Slide 12

Assisting and supporting each project or other change through all Service Design activities

Maintaining policies, guidelines, standards, and budgets for Service Design activities

Coordinating, prioritizing and scheduling Service Design resources

Reviewing, measuring and improving performance of Service Design activities

Ensuring the production of SDPs and their handover to Service Transition

Design Coordination scope covers managing the resources needed to perform activities across the Service Design phase



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Design Coordination Recap

Ensure that all service models and service solution designs conform to strategic, architectural, governance and other corporate requirements and long and sometimes it is simply a rapid check that the right ‘design’ (procedure) is being used. Other organizations take the perspective that only changes that fit certain criteria, such as those associated with a project or major change, have a formal service design stage. In this perspective changes that fail to meet the agreed criteria may be considered out of the scope of this process.

Whichever perspective is adopted by an organization, the end result should be more successful changes that deliver the required business outcomes with minimal disruption or other negative impacts on business operations. If an organization’s approach produces that result, then the organization is performing design coordination correctly.


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Design Coordination Recap

Slide 13

In short Design Coordination ensures that the Service Design Package is completed on time within budget and against customer requirements

Requests

Requirements Process

SDP

Budget

Time

Review the purpose, scope and value of the SDP



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The design coordination process includes:

• Assisting and supporting each project or other change through all the service design activities and processes

• Maintaining policies, guidelines, standards, budgets, models, resources and capabilities for service design activities and processes

• Coordinating, prioritizing and scheduling of all service design resources to satisfy conflicting demands from all projects and changes

• Planning and forecasting the resources needed for the future demand for service design activities

• Reviewing, measuring and improving the performance of all service design activities and processes

• Ensuring that all requirements are appropriately addressed in service designs, particularly utility and warranty requirements

• Ensuring the production of service designs and/or SDPs and their handover to Service Transtition.

The design coordination process does not include:

• Responsibility for any activities or processes outside of the design stage of the service lifecycle

• Responsibility for designing the detailed service solutions themselves or the production of the individual parts of the SDPs. These are the responsibility of the individual projects or service management processes stage of service design still occurs, even if the designs for simple or standard changes are usually pre-built and are reused frequently and quickly. Sometimes the stage is quite complex

The SDP contains:

• Requirements: Business requirements, service applicability, service contacts

• Service Design: Service functional requirements, Service Level Requirements, service and operational management requirements

• Organizational readiness assessment

• Service Lifecycle Plan: Service program, Service Transition plan, service operational acceptance plan, Service Acceptance Criteria


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Ok, I now know what to do. I’d also like to state that your new SLM Policy, which automatically invokes a

Service Improvement Program (SIP) when Service Levels are not met is greatly appreciated by my people.

And thank the CSI manager who helped us bring about the improvement too

Intro to Service Catalog and the Service Level Management

Slide 14

Hi, I would like to order the Corporate “ABC” Application

Service with “Bronze” (95% availability) Service Level for my

100 claims people and my 20 nance people need the

“Gold” (99.5% availability) Service Level Option

Great! Oh, before I forget, actually my nance people

really need a (99.95%) service level, is that possible?

Also is it possible to get the

application Web enabled so we can access it from anywhere?

We might be able to o er that higher Service level, If our current OLA’s and UC’s with our internal and external service providers support that. I’ll get back to you on that shortly

Hello, what Services and Service Levels from the Service Catalog can I sign you up for?

Sure I’ll sign you up for those Service Levels

We don’t o er web enabled applications at this time, as they are not a standard on the Service Catalog. However I’ll check if the requirement is already captured in the Service Portfolio Management Pipeline. I can introduce you to the BRM who does the intake for these new Service requirements. If the Business case is good and Service Design signs o , I don’t see why not we can not add this to the portfolio. Be aware that It will take a while to build that Service though.

SERVICE LEVEL MANAGER

CUSTOMER

Customer Requirements

Service Catalog

Introduce the Service Catalog and Service Level Management by means of an analogy:The role of SLM (in conjunction with BRM) is to assist the customer in understanding and establishing services and service levels that meet their need



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Slide 15

ITIL®

Detail the purpose of Service Catalog ManagementQuery students to ensure understanding of the parts of the Service Portfolio



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Service Catalog Management – Purpose

PURPOSE: To ensure that a Service Catalog is produced, maintained and contains accurate information on all operational services and those ready for deployment.

The objective of Service Catalog Management (SCM) is to manage the information contained within the Service Catalog and to ensure that it is accurate and reflects the current details, status, interfaces and dependencies of all services that are being run (or being prepared to run) in the live environment.

The Service Catalog Management process must ensure that all of the details within the Service Portfolio are accurate and up to date as the requirement and its new or changed service is migrated into the live environment. This will involve a close liaison with all Service Transition activities.


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Service Catalog Management – Purpose

Slide 16

Service Portfolio

Service Pipeline

Service Catalog

Retired Service

Future service o erings

Present service o erings

Past service o erings

Provide and maintain a single source of consistent information on all operational services and those being prepared to be run operationally

Explain the concepts, purpose ojetives and scope of Service Catalog Management. The Service Catalog is the portion of the service portfolio that is exposed to the customer and contains a listing of all active services offered by the service providerRestaurant analogy:

• Compare the service catalog to the menu in the restaurant

• Explain that the catalog ontains only the menu items that can be ordered. (The menu items under development and thaose that have been retired are in the service portfolio, but not on the menu)

• Note that the menu may not offer each component of the menu item separately, but may ‘bundle’ them into packages that are normally ordered together (e.g. the customer does not have to order the silverware, a plate and a napkin separately – these things are included when a meal is ordered). Explain that we will return to ‘types of services’ shortly. (core, supporting, enhancing)

The service catalog is a means of helping the BRM and Service Level Manager manage customer expectations. Therefore, one important indicator of the maturing of the catalog is whether it accurtely reflects what the customer can expect.How do you think the customer would react to the following:

• The waiter says that a dish on the menu is no longer offered

• The customer orders a pizza with avocado from the menu and when it comes, it has pineapple instead, and the customer is allegric to pineapple

• The menu states “we are proud of our speedy service”, yet it takes an hour for the food to arrive



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Service Catalog Management – Objectives

The key activities within the Service Catalog Management process includes:

• Agreeing upon and documenting a service definition

• Interfacing with Service Portfolio Management

• Producing and maintaining a Service Catalog

• Interfacing with the business and IT Service Continuity Management

• Interfacing with support teams, suppliers and Configuration Management

• Interfacing with Business Relationship Management and Service Level Management


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Service Catalog Management – Objectives

Slide 17

Agree and document a service de nition

Interface with Service Portfolio Management

Produce and maintain a Service Catalog

Interface with the business and IT Service Continuity Management

Interface with support teams, suppliers and Con guration Management

Interface with Business Relationship Management and Service Level Management

Detail the objectives of Service Catalog Management



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Service Catalog Management - Scope

The scope of this process is to provide and maintain accurate information on all services that are being transitioned or have been transitioned to the live environment. This includes such tasks as:

• Definition of the service (what is being provided?)

• Production and maintenance of accurate Service Catalog information

• Development and maintenance of the interfaces and dependencies between the Service Catalog and Service Portfolio, ensuring consistency between the two items

• Identification and documentation of the interfaces and dependencies between all services (and supporting services) within the Service Catalog and Configuration Management System (CMS)

• Identification and documentation of the interfaces and dependencies between all services, supporting components and Configuration Items (CIs) within the Service Catalog and the CMS.

Depending on the number and complexity of services offered, the size of the customer and end user population, Patterns of Business activities (PBA) and what objectives have been defined for the process, these activities and items may have little or a great deal of reliance on technology to be effective.


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Service Catalog Management – Scope

Slide 18

Contribute to the de nition of services and service packages

Produce and maintain an accurate service catalog

Maintain interfaces, dependencies and consistency between service catalog and the service portfolio

Maintain interfaces and dependencies between services and supporting services

Detail the activities in scope for Service Catalog Management



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Service catalogue – A three view structure

Some organizations maintain a service catalogue that includes only the customer-facing services, while others maintain information only on the supporting services. The preferred situation adopted by the more mature organizations maintains both types of service within a single service catalogue, which is in turn part of a totally integrated service portfolio. Some organizations project more than two views. There is no correct or suggested number of views an organization should project. The number of views projected will depend upon the audiences to be addressed and the uses to which the catalogue will be put.

Wholesale customer view - This contains details of all the IT services delivered to wholesale customers (customer-facing services), together with the relationships to the customers they support.

Retail customer view - This contains details of all the IT services delivered to retail customers (customer-facing services), together with the relationships to the customers they support.

Supporting services view - This contains details of all the supporting IT services, together with relationships to the customer-facing services they underpin and the components, CIs and other supporting services necessary to support the provision of the service to the customers.

Note in this example how customer-facing service C appears in both the wholesale view and the retail view. It is also possible that the different views might reflect hierarchical relationships beyond one level of customer and one level of supporting service. Services are also likely to be packaged and then service packages will be shown in the appropriate service catalogue view(s).


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Three view structure

Examples of Service Catalog Structures

Slide 19

The Service Catalog

Service E Service D Service C Service B Service A

Retail Customer 2

Retail Customer 1

Wholesale Customer 2

Wholesale Customer 1

Wholesale Service Catalog

View

Retail Service Catalog

View

Service 1 Service 2 Service 3 Service 4 Service 5 Service 6

Supporting Service Catalog View

Links to Related Information

Service Assets/Con guration Records

= Supporting Services = Customer-Facing Services Key

A service provider may actually have more than one version of the service catalog, with each version tailored to a specific customer group.In this graphic, the service provider has both wholesale and retail customers. Note that the wholesale customer group has access to some services (Service A) that is not available for retail customers. However, some services (e.g. Service C) may be applicable for both customer groups.The important thing to remember here is that data and information in the service catalog (or catalogs) must be accurate, consistent and up to date.



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Slide 20

ITIL®

SLM is one of the few customer-facing processes within ITIL®.



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Service Level Management – Purpose

PURPOSE: To ensure that the levels of IT service delivery are achieved, both for existing services and new services, in accordance with the agreed upon targets.

Service Level Management (SLM) provides a consistent interface with the business for all service related issues. It provides the business with the agreed upon service targets and the required management information to ensure that those targets have been met. SLM ensures that all operational services and their performance are measured in a consistent, professional manner throughout the organization and that the services and reports produced meet the needs of the business and customers.


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Ensure all current and planned IT services are delivered to agreed upon achievable targets This is achieved through:

Service Level Management – Purpose

Slide 21

A constant cycle of negotiating, agreeing,

monitoring, reporting and reviewing IT service targets

and achievements

Instigation of actions to correct or improve the level

of service delivered

Reviewing Agreeing

Monitoring Reporting

Negotiating

Costs

Pro ts

SLM is responsible for analysing Service Level Requirements (SLR) coming from the customer and negotiating service targets that ultimately are agreed within Service Level Agreements (SLA).SLM is additionally responsible for monitoring and reporting on service achievements and reviewing targets and agreements at periodic intervals to ensure they effectively support business goals and objective.



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Service Level Management - Objectives

The objectives of SLM are to:

• Define, document, agree, monitor, measure, report and review the level of IT services provided

• Provide and improve the relationship and communication with the business and customers

• Ensure that specific and measurable targets are developed for all IT services

• Monitor and improve customer satisfaction with the quality of service delivered

• Ensure that IT and the customers have a clear and unambiguous expectation of the level of service to be delivered

• Ensure that proactive measures to improve the levels of service delivered are implemented wherever it is cost justifiable to do so


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Service Level Management – Objectives

Slide 22

De ne, document, agree, monitor, measure, report and review the level of IT services provided

Provide and improve relationship with business and customers

Ensure that speci c and measurable targets are developed for all services

Monitor and improve customer satisfaction

Ensure that IT and customers have unambiguous expectations of service levels

Ensure improvement in levels of service delivered wherever it is cost justi able

Detail the major objectives of SLM



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Service Level Management - Scope

The scope of the SLM starts right from the customer demands which in turn become the requirement and SLM gets Service Level Requirements (SLR). SLR gets drafted, negotiated and agreed and from them we get Service Specification and Service Level Agreements (SLA). SLM also manages OLA with internal teams and with coordination of Supplier Management, SLM manages underpinning contracts with external suppliers. Monitoring, reporting and reviewing of SLA / OLA also come under the scope of SLM. Based on the Performance Review results, SLM recommends Service Improvement Plans (SIP).

SLM should provide a point of regular contact and communication to the customers and business managers of an organization in relation to service levels. In this context, it should represent the IT service provider to the business and the business to the IT service provider. This activity should encompass both existing services and potential future requirements for new or changed services. SLM needs to manage the expectation and perception of the business. Customers and users ensure that the quality (warranty) of service delivered by the service provider is matched to those expectations and needs. In order to do this effectively, SLM should establish and maintain SLAs for all current live services and manage the level of service provided to meet the targets and quality measurements contained within the SLAs. This should produce and agree SLRs for all planned new or changed services that document warranty requirements.


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Service Level Management – Scope

Slide 23

Cooperation with the BRM process to develop relationships

Negotiation and agreement of current and future service level requirements (SLR) and Service Level Agreements (SLA)

Development and management of appropriate Operational Level Agreements (OLA) to ensure alignment with SLA targets

Reporting and management of service level achievements and breaches

Periodic review, renewal or revision of SLAs, service scope and OLAs



There are four processes in scope for ITIL Foundation where the learner is expected to develop a conceptual understandin the the activities within the process. SLM is the first (the others are Change, Incident and Problem)The numonic at the bottom of the slide may be used as a learning device to help students remember the order of the steps:“we call SLM the “pirate process”. What is a pirate’s favorite letter? (arrrrrrrrr). The activities are DNAMM arrrrrrr arrrrrr”

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Service Level Management – ActivitiesThe key activities within the SLM process include:

• Determine, negotiate, document and agree upon requirements for new or changed services in SLRs. Manage and review SLRs through the Service Lifecycle into SLAs for operation services.

• Monitor and measure service performance achievements of all operational services against targets within SLAs.

• Compile, measure and improve customer satisfaction.• Produce service reports. A useful technique is to include a SLA Monitoring (SLAM) chart atthe

front of the service reports to give an overview of the achievements. Most effective is to use color codes. (also known as RAG - Red, Amber, Green - charts)

• Conduct service reviews and initiate improvements within an overall Service Improvement Program/Plan (SIP)

• Review and revise SLAs, service scope OLAs, contracts and any other underpinning agreements

• Develop and document contacts and relationships with the business, customers and stakeholders

• Develop, maintain and operate procedures for logging, handling and resolving all complaints, and for logging and distributing compliments

• Log and manage all complaints and compliments• Provide the appropriate management information to aid performance management and

demonstrate service achievement• Make available and maintain up-to-date SLM document templates and standards


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Service Level Management Activities

Slide 24

Designing SLA

frameworks

De ne, document and agree

requirements and produce

SLRs

Negotiate, document and agree

SLAs

Monitor and measure service

performance against SLAs

Producing service reports

Conduct service reviews

D N A M M R R

De ne Negotiate Agree Monitor Measure Report Review



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Service Level Management – Designing SLA Frameworks

Using the Service Catalog as an aid, SLM must design the most appropriate SLA structure to ensure that all services and customers are covered in a manner best suited to the organization’s needs. There are a number of potential options, including service-based SLAs, customer-based SLAs and multi-level SLAs.

Service-based SLAA service-based SLA covers one service, for all the customers of that service. For example, an SLA may be established for an organization’s email service and cover all the customers of that service.

Customer-based SLAA customer-based SLA is an agreement with an individual customer group, covering all the services they use. For example, agreements may be reached with an organization’s finance department covering the finance system, the accounting system, the payroll system, the billing system, the procurement system, and any other IT systems that they use.

Multi-level SLAsCorporate level: Covers all the generic SLM issues appropriate to every customer throughout the organization. These issues are likely to be less volatile, so updates are less frequently required

Customer level: Covers SLM issues relevant to the particular customer group or business unit, regardless of the service being used

Service level: Covers SLM issues relevant to the specific service, in relation to a specific customer group (one for each service covered by the SLA)


3 Service Design



SLM Activity: De ne SLA Framework

Slide 25

SLM must design the most appropriate SLA structure to ensure that all services and customers are covered in a manner best suited to the organization’s needs Potential options include:

Customer A

Service A

Customer B

Service B

Customer C

Service C

Customer A

Service A

Customer B

Service B

Customer C

Service C

Customer A

Service A

Customer B

Service B

Customer C

Service C

Customer D

Service D

Service-Based SLA Customer-Based SLA

Corporate-Level SLA

Detail the Define activity.Stress the three frameworks and give examples: Service-based, customer-based and multi-level



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Define, Document and Agree Requirements and Produce SLRs

A draft of the SLR is one of the earliest activities within the Service Design stage of the Service Lifecycle. Once the Service Catalog has been produced and the SLA structure has been agreed upon, a first SLR must be drafted. It is advisable to involve customers from the outset, but rather than going along with a blank sheet to start with, it may be better to produce a first outline draft of the performance targets and the management and operational requirements, as a starting point for more detailed and in-depth discussion.

It cannot be overstressed how difficult it is to determine the initial targets for inclusion within an SLR or SLA. All of the other processes need to be consulted for their opinion on what are realistic targets that can be achieved, such as Incident Management on incident targets. The Capacity and Availability Management processes will be of particular value in determining appropriate service availability and performance targets. If there is any doubt, provisional targets should be included within a pilot SLA that is monitored and adjusted through a service warranty period.

While many organizations have to give initial priority to introducing SLAs for existing services, it is also important to establish procedures for agreement of SLRs for new services being developed or procured. The SLRs should be an integral part of the Service Design criteria, of which the functional specification is a part. They should, from the very start, form part of the testing/trialing criteria as the service progresses through the stages of design and development or procurement.


3 Service Design



Service Level Requirement (SLR) A customer requirement for an aspect of an IT service.

Service level requirements are based on business objectives and used to negotiate agreed service level targets

De ne, Document and Agree Requirements and Produce SLRS

Slide 26

Here are my Service Level Requirements. I would like to order

the Corporate “ABC” Application Service with “Bronze” (95%

availability) Service Level for my 100 claims people and my 20 nance

people need the “Gold” (99.5% availability) Service Level Option


CUSTOMER

Customer Requirements

Service Catalog

The process begins with Service Level Requirements; requirements from the customer as to the level of service they require.SLM will assist the customer in fully detailing these requirements and translating them into achievable service targets The targets will be agreed between the service provider (the provider has the capability and agrees to meet the targets) and the customer (the customer is willing to pay for the level of service)



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Negotiate, Document and Agree SLAs

This SLR will gradually be refined as the service progresses through the stages of its lifecycle, until it eventually becomes a pilot SLA during the Early Life Support period. This pilot or draft SLA should be developed alongside the service itself, and should be signed and formalized before the service is introduced into live use.

It can be difficult to draw out requirements, as the business may not know what they want — especially if not asked previously — and they may need help in understanding and defining their needs, particularly in terms of capacity, security, availability and IT service continuity. Be aware that the requirements initially expressed may not be those ultimately agreed upon. Several iterations of negotiations may be required before an affordable balance is struck between what is sought and what is achievable and affordable.

Using the draft agreement as a basis, negotiations must be held with the customer(s), or customer representatives to finalize the contents of the SLA and the initial service level targets, and with the service providers to ensure that these are achievable


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Negotiate, Document and Agree SLAS

Slide 27

Actually my nance people really need a (99.95%) service level, is that possible?

Also is it possible to get the application Web enabled so we

can access it from anywhere?

Never mind, I know our BRM well, I’ll walk over to his o ce

after this meeting

Yes I will gladly sign once I have made

my nal review

We don’t o er web enabled applications at this time, as they are not a standard on the Service Catalog. However I’ll write down your requirement and check if the requirement is already captured in the Service Portfolio Management Pipeline. I can introduce you to the BRM who does the intake for these new Service requirements. If the Business case is good and Service Design signs o , I don’t see why not we can not add this to the portfolio. Be aware that It will take a while to build that Service though.

We might be able to o er that higher Service level, If our current OLA’s and UC’s with our internal and external service providers support that. I’ll get back to you on that shortly

I will document your SLR’s and draft the SLA, for you to review, Once I get the green light we can sign maybe as early as 12 days from now


CUSTOMER

SLR Service Catalog

SLM will negotiate and agree Service Level Agreements with the customer



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Monitoring and measure Service Performance & produce Service Level Reports

A Service Level Agreement Monitoring (SLAM) Chart is used to help monitor and report achievements. A SLAM is typically color coded to show whether each agreed Service Level Target has been met, missed, or nearly missed during each of the previous time periods

Slide 28

Messaging (e-mail) January February March April

Realized Availability (Target is 99.5%) 99.8% 100% 99.45% 99.45%

Number of incidents per category January February March April

Priority 1 0 0 1 0

Priority 2 12 16 14 12

Priority 3 100 120 267 115

Priority 4 250 245 290 244

Service Request 90% delivered <48Hours January February March April

Add Mailbox 100% 100% 90% 94%

Remove Mailbox 82% 100% 92% 100%

Add/modify/delete public distribution list 100% 90% 92% 100%

Add/modify/delete public folders 100% 90% 91% 100%

Add/modify/delete disclaimer users 100% 100% 80% 91%

93% 95% 94% 97%

#Service Requests January February March April

Add Mailbox 60 55 70 72

Remove Mailbox 45 60 45 50

Add/modify/delete public distribution list 10 0 12 9

Add/modify/delete public folders 10 0 12 9

Add/modify/delete disclaimer users 2 4 6 8

Once established, SLM is responsible for monitoring performance against the agreed SLAs.A Service Level Agreement Monitoring chart (SLAM) may be used to report achievement metrics. A SLAM chart is sometimes called a stoplight chart --- it is a color coded chart that allows the reviewer to easily analyse the data presented



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Conduct Service Review

Periodic review meetings must be held on a regular basis with customers (or their representatives) to review the service achievement in the last period and to preview any issues for the coming period. It is normal to hold such meetings monthly or, as a minimum, quarterly. Actions must be placed upon the customer and provider as appropriate to improve weak areas where targets are not being met. All actions must be minuted, and progress should be reviewed at the next meeting to ensure that action items are being followed up on and properly implemented.

Particular attention should be focused on each breach of service level to determine exactly what caused the loss of service and what can be done to prevent any recurrence. If it is decided that the service level was, or has become, unachievable, it may be necessary to review, renegotiate, or review-agree different service targets. If the service break has been caused by a failure of a thirdparty or internal support group, it may also be necessary to review the underpinning agreement or OLA. Analysis of the cost and impact of service breaches provides valuable input and justification of Service Improvement Program (SIP) activities and actions. The constant need for improvement needs to be balanced and focused on those areas most likely to give the greatest business benefit. Reports should also be produced on the progress and success of the SIP, such as the number of SIP actions that were completed and the number of actions that delivered their expected benefit.


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Regularly scheduled meetings between customer and service provider to review service achievements for the last period Assign actions to customer and provider as appropriate to improve weak area Focus on service breaches to determine root cause and de ne what will be done to prevent recurrence Discussions may result in establishment of formal plans to implement improvements to a process or IT service known as Service Improvement Plans (SIP)

Conduct Service Review

Slide 29

SLM will schedule regular meetings with the customer to review service achievements.Actions coming from these reviews may be used to form Service Improvement Plans (SIP) --- formal plans for improvemen



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Relationship between BRM and SLM

While the SLM process exists to ensure that agreed achievable levels of service are provided to the customer and users, the Business Relationship Management process is focused on a more strategic perspective. Business Relationship Management takes as its mission the identification of customer needs and ensuring that the service provider is able to meet the customers’ needs. This process focuses on the overall relationship between the service provider and their customer, working to determine which services the service provider will deliver. See section 4.5 of ITIL® Service Strategy for a detailed discussion of business relationship management and the relationship between it and the SLM process


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Relationship between BRM and SLM

Slide 30

BBuussiinneessss RReellaattiioonnsshhiipp MMaannaaggeemmeenntt SSeerrvviiccee LLeevveell MMaannaaggeemmeenntt

Purpose Establish and maintain a business relationship between the service provider and customer based on understanding the customer and their business needs Identify customer needs (utility and warranty) and ensure the service provider is able to meet those needs

Negotiate SLAs (warranty terms) with customers and ensure all service management processes, OLAs and contracts are appropriate for the agreed service level targets

Focus Strategic and tactical – focus is on business needs and services provided to meet those needs

Tactical and operational – focus is on agreeing service level targets and monitoring whether service provider was able to meet those targets

Primary Measure

Customer satisfaction Achieving agreed levels of service

Detail the similarities and differences between BRM and SLM. The two processes are synergistic in nature, yet the focus for each is different



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Service Level Management – AgreementsTo reach Service Level Management objectives, some concepts must be taken into consideration:Service Level Requirements (SLR): A set of targets and responsibilities documented and agreed upon for each proposed new or changed service. SLRs are based upon business objectives and are used to negotiate agreed upon Service Level Targets.

Service Level Agreement (SLA): A written agreement between an IT service provider and the IT customer, it defines the key service targets and responsibilities of both parties. The emphasis must be on agreement and SLAs should not be used as away of holding one side or the other to ransom. A true partnership should be developed between the IT service provider and the customer, so that a mutually beneficial agreement is reached.Although the IT organization itself has access to certain resources, it may also acquire resources and/or services from internal providers (such as the network department or the mainframe department) or external providers (such as a telecommunication company). To be able to manage the performance of these hired resources and services, the IT organization must have agreements with these providers. These are called Operational Level Agreements for internal providers and Underpinning Contracts for external providers.

Operational Level Agreement (OLA): An agreement between an IT service provider and another part of the same organization that assists with the provision of services (for instance, a facilities department that maintains the air conditioning, or network support team that supports the network service). An OLA should contain targets that underpin those within an SLA to ensure that targets will not be breached by failure of the supporting activity.

Underpinning Contract (UC): A contract between an IT service provider and an external supplier covering delivery of services that support the IT organization in its delivery of services. In ITIL®, the Supplier Management process is responsible for negotiating these UC’s with external suppliers and making sure that they align with the needs of the business


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Service Level Management – Agreements

Slide 31

SLR

OLA

SLA

Contract

Service Level Requirement

A customer requirement for an aspect of an IT service. Service level requirements are based on business objectives and used to negotiate agreed service level targets.

Operational Level Agreement

An agreement between an IT service provider and another part of the same organization. It supports the IT service provider’s delivery of IT services to customers and de nes the services to be provided and the responsibilities of both parties. For example,

Between the IT service provider and a procurement department to obtain hardware in agreed times Between the service desk and a support group for incident response

Underpinning Contract

A contract between an IT service provider and a third party. The third party provides goods or services that support delivery of an IT service to a customer. The underpinning contract de nes targets and responsibilities that are required to meet agreed service level targets in one or more service level agreements.

Service Level Agreement

An agreement between an IT service provider and a customer. A service level agreement describes the IT service, documents service level targets, and speci es the responsibilities of the IT service provider and the customer. A single agreement may cover multiple IT services or multiple customers.

SLR – customer requirementsSLA – agreement between the service provider and the customerOLA – agreement between the service provider and another part of the organizationContract (also underpinning contract) – agreement between service provider and external vendors and suppliers



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Warranty Processes

Capacity Management Availability Management IT Service Continuity Management Information Security Management

Slide 32

ITIL®

Four of the processes within Service Design are known as warranty processes (note relationship estabished during value discussion – value = utility + warranty, and warranty includes: Availability, Capacity, Security and Continuity)



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Capacity Management

Capacity Management ensures that the current and future capacity and performance demands of the customer regarding IT service provision are delivered against justifiable costs.


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Capacity Management

Slide 33

ITIL®



Detail the purpose of Capacity Management

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Capacity Management - Purpose

PURPOSE: To ensure the current and future capacity and performance demands of the customer regarding IT service provision are delivered against justifiable costs.

Capacity Management ensures that cost justifiable IT capacity in all areas of IT always exists and is matched to the current and future agreed upon needs of the business, in a timely manner. Capacity Management has overall responsibility for ensuring that there is adequate IT capacity to meet required levels in the SLA and for ensuring that senior IT management is correctly advised on how to match capacity and demand, and to ensure that use of existing capacity is optimized. Capacity Management is a process that extends across the Service Lifecycle. A key success factor in managing capacity is ensuring it is considered during the design stage.


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Capacity Management – Purpose

Slide 34

Manages:

The right amount of capacity

At the right location

At the right time

For the right customer

Against the right cost

To ensure the current and future capacity and performance demands of the customer regarding IT service provision are delivered against justi able costs Capacity Management ensures that cost justi able IT capacity in all areas of IT always exists and is matched to the current and future agreed upon needs of the business, in a timely manner



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Capacity Management - ObjectivesThe objectives of Capacity Management are:

• To produce and maintain an appropriate and up to date Capacity Plan that reflects the current and future needs of the business

• To provide advice and guidance to all other areas of the business and IT on all capacity- and performance-related issues

• To produce and maintain an appropriate and up to date Capacity Plan that reflects the current and future needs of the business

• To provide advice and guidance to all other areas of the business and IT on all capacity- and performance-related issues

• To ensure that service performance achievements meet or exceed all of their agreed upon performance targets, by managing the performance and capacity of both services and resources

• To assist with the diagnosis and resolution of performance- and capacity-related Incidents and Problems

• To assess the impact of all changes to the Capacity Plan and the performance and capacity of all services and resources

• To ensure that proactive measures to improve the performance of services are implemented wherever it is cost justifiable to do so

Capacity Management is the process that manages:• The right capacity• At the right location• At the right moment• For the right customer• Against the right costs


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Capacity Management – Objectives

Slide 35

Produce and maintain a Capacity Plan that re ects the current and future needs of the business

Provide advice and guidance on capacity- and performance-related issues

Ensure service performance achievements meet or exceed all agreed performance targets

Assist with diagnosis and resolution of performance- and capacity-related Incidents and Problems

Assess the impact of changes to performance and capacity of all services and resources

Ensure improvements to capacity where cost justi able

Detail the objectives of Capacity Management



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Capacity Management - Scope

Capacity management should focus on all IT performance and capacity issues. It considers all resources required to deliver an IT service, and plans for short-, medium- and long-term business requirements. It should touch all areas of technology. Capacity management considers space planning and environmental systems capacity and it could consider human resource capacity where a lack would result in a breach of SLA or OLA targets(e.g. overnight data backups not completed in time because no operators were present to load required media).

The capacity management process should include:

• Monitoring performance, utilization and throughput of IT services, the production of reports on service and component capacity and performance

• Tuning activities to make the most efficient use of existing IT resources

• Understanding current and future customer demands for IT resources and producing forecasts for future requirements

• Influencing demand in conjunction with the financial management for IT services and demand management processes

• Producing a capacity plan that covers a sufficient planning time-frame to meet service levels as defined in the service portfolio and SLRs


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Capacity Management – Scope

Slide 36

Focal point for all IT performance and capacity issues

Encompass all areas of technology, including facilities space and environmental capacity

Human resources where a lack may result in a breach of an SLA

Monitoring and tuning

Understanding and in uencing demand

Capacity Planning

Identify technological trends

Detail the scope of Capacity Management



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Assisting with identification and resolution of incidents and problems on component capacity or performance

• Proactive improvement of service or component performance, that is cost-justifiable and meets the needs of the business.

Capacity management has a close, two-way relationship with the Service Strategy and planning processes within an organization. The Service Strategy will reflect the business plans and strategy. Capacity management needs to understand the short-, medium- and long-term plans of the business and IT while providing information on the latest ideas, trends and technologies being developed by the suppliers of computing hardware and software.

The organization’s business plans drive the specific IT Service Strategy, the contents of which capacity management needs to be familiar with, and to which capacity management needs to have had significant and ongoing input. The right level of capacity at the right time is critical. Service strategy plans will be helpful to capacity planning by identifying the timing for acquiring and implementing new technologies, hardware and software.


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A capacity plan should be created at least on an annual basis. The plan should include current and future capacity requirementsCapacity has three sub-processes:

• Business capacity• Service capacity• Component capacity

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Capacity Management - Capacity Plan

Capacity Plan

In conjunction with the business and their plans, Capacity Management provides a Capacity Plan which outlines the IT resources and funding needed to support the business plan, together with a cost justification of that expenditure. The production and maintenance of a Capacity Plan should occur at predefined intervals. It is, essentially, an investment plan and should therefore be published annually, in line with the business or budget lifecycle, and completed before the start of negotiations on future budgets. The Capacity Plan is used by all areas of the business and IT management and is acted upon by the IT service provider and senior management of the organization to plan the capacity of the IT infrastructure, and also provides planning input to many other areas of IT and the business. The Capacity Plan contains information on the current usage of service and components and plans for the development of IT capacity to meet the needs in the growth of both existing service and any agreed new services. The Capacity Plan should be actively used as a basis of decision-making.

There are many similar activities that are performed by each of the Capacity Management sub processes, but each sub-process has a very different focus.


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The capacity plan documents current levels of resource utilization and forecasts future requirements for resources needed to support IT services that underpin business activities Capacity Management sub-processes:

Business Capacity Management – translates business needs and plans into requirements for service and IT infrastructure Service Capacity Management – focuses on end-to-end performance and capacity of operational service usage and workloads Component Capacity Management – focuses on prediction of performance, utilization and capacity of individual IT technology components

Capacity Management – Capacity Plan

Slide 37



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Business Capacity Management

This sub-process translates business needs and plans into requirements for service and IT infrastructure, ensuring that the future business requirements for IT services are quantified, designed, planned and implemented in a timely fashion. The main objective of the Business Capacity Management sub-process is to ensure that the future business requirements (customer outcomes) for IT services are considered and understood, and that sufficient IT Capacity to support any new or changed services is planned and implemented within an appropriate timeframe.

Service Capacity Management

The focus of this sub-process is the management, control and prediction of the end-to-end performance and capacity of the live, operational IT services usage and workloads. It ensures that the performance of all services, as detailed in service targets within SLAs and SLRs, is monitored and measured, and that the collected data is recorded, analyzed and reported. The main objective of the Service Capacity Management sub-process is to identify and understand the IT services, their use of components, working patterns, peaks and troughs, and to ensure that the services meet their SLA targets.

Component Capacity Management

The focus in this sub-process is the management, control and prediction of the performance, utilization and capacity of individual IT technology components (e.g., CPU, disk). It ensures that all components within the IT infrastructure that have finite resource are monitored and measured, and that the collected data is recorded, analyzed and reported.


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Slide 38

ITIL®



Detail the purpose of Availability Management

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Availability Management – Purpose

PURPOSE: To optimize the capability of the IT infrastructure and to support the organization by delivering a cost effective and sustained level of availability that enables the business to satisfy its objectives.

The Availability Management process ensures that the availability of systems and services matches the evolving agreed upon needs of the business. The role of IT within the business is pivotal because the availability and reliability of IT services can directly influence customer perception and satisfaction and the reputation of the business. Today, Availability Management is essential to ensure that IT delivers the right levels of service availability required by the business to satisfy its business objectives and deliver the quality of service demanded by its customers.


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Availability Management – Purpose

Slide 39

Ensure the level of availability delivered in all IT services meets the agreed availability needs of the business in a cost-e ective and timely manner



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Availability Management – Objectives

The objectives of Availability Management are:

• To produce and maintain an appropriate and up-to-date Availability Plan that reflects the current and future needs of the business. This should be a forward-looking document

• To provide advice and guidance to all other areas of the business and IT on all availability related issues

• To ensure that service availability achievements meet or exceed all of their agreed upon targets, by managing services and resources related to availability performance

• To assist with the diagnosis and resolution of availability-related Incidents and Problems

• To assess the impact of all changes on the Availability Plan and the performance and capacity of all services and resources

• To ensure that proactive measures to improve the availability of services are implemented wherever it is cost justifiable to do so


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Availability Management – Objectives

Slide 40

Produce and maintain an Availability Plan that re ects the current and future needs of the business

Provide advice and guidance to business and IT on all availability-related issues

Ensure service availability achievements meet or exceed agreed targets

Assist with diagnosis and resolution of availability-related Incidents and Problems

Assess impact of changes on the performance and availability of services and resources

Ensure improvement to availability of services when cost justi able

Detail the objectives of Availability Management



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Availability Management – Scope

The Availability Management process contains two key elements:

• Reactive activities: The reactive aspect of Availability Management involves the Monitoring, Measuring, Analysis and Management of all Events, Incidents and Problems involving unavailability. These activities are principally involved within operational roles and are performed to ensure that all agreed upon service targets are measured and achieved. The actual work in dealing with reactive activities is done with the Service Operation phase.

• Proactive activities: The proactive activities of Availability Management involve the proactive planning, design and improvement of availability. These activities are principally involved within design and planning roles. It is more cost-effective to design the right level of service availability into a service from the start, rather than having to redesign it at a later point.

Availability Management is completed at two inter-connected levels:

• Service availability: This level involves all aspects of service availability and unavailability and the impact of component availability, or the potential impact of component unavailability on service availability.

• Component availability: This level involves all aspects of component availability and unavailability


3 Service Design



Availability Management – Scope

Slide 41

Monitoring all aspects of availability, reliability and maintainability of IT services and supporting components

Maintaining set of methods, techniques and calculations for availability measurements, metrics and reporting

Actively participating in risk assessment and management activities

Producing an availability plan

In uencing design of services and components to align with business availability needs

Availability Management produces a plan for meeting current and future availability requirements, monitors provision of services and is involved in other aspects of availability throughout the service lifecycle



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Availability Management – Concepts

Some important Availability Management concepts include:

• Reliability: Freedom from operational failure—a measure of how long a service, component or CI can perform its agreed upon function without interruption

• Maintainability: A measure of how quickly and effectively a service, component or CI can be restored to normal working after a failure. This is performed from an internal staff perspective.

• Resilience (Redundancy): The ability to withstand failure or the ability of a component or service to maintain operation where one or more components have failed. Availability always reduces for components in series and increases for components in parallel. That is why resilience is the best solution when customers request a very high availability.

• Serviceability: The ability of a third party supplier (external focus) to meet the terms of its contract

• Security: Information Security Management determines the security requirements of a service, while Availability Management implements the measures.


3 Service Design



Availability: The ability of a service, component or Con guration Item (CI) to perform its function as required

Reliability: Measure of how long a service, component or CI can perform its agreed function without interruption

MTBSI – Meantime between service incidents MTBF – Meantime between failures

Maintainability: Measure of how quickly and e ectively a service, component or CI can be restored to normal working after a failure

MTRS – Meantime to restore service Serviceability: Ability of a third-party supplier to meet the terms of its

contract


Slide 42

Introduce the four main availability concepts and associated measures



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Availability Management - Concepts

Availability: The ability of a service, component or Configuration Item (CI) to perform its agreed upon function at a stated time, at a stated instant or over a stated period of time


3 Service Design




Slide 43

The ability of a service, component or CI to perform its function as required

Service availability – involves all aspects of service availability and unavailability Component availability – involves all aspect of component availability and unavailability

Availability (%) = ----------------------------------------------- X 100 Agreed service time (AST) — downtime

AST

Introduce the availability calculation. Note that this is a generic calculation and does not include averages



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Availability Management - Vital business function

Another important concept is:

Vital Business Function (VBF):

Reflects the business critical elements of the business process supported by an IT service. For example, the VBF for an automated teller machine (ATM) is to dispense cash (for the user) and to credit the account (for the bank).

Providing a receipt, while useful, may be considered a non-critical business element.


3 Service Design



Availability Management – Vital business function

Slide 44

Vital Business Function (VBF): Re ects the business critical elements of the business process supported by an IT service.

For example, the VBF for an ATM is to dispense cash (for the user) and to credit the account (for the bank) Providing a receipt, while useful, may be considered a non-critical business element

This distinction is important and should in uence availability design and associated costs

Introduce the concept of a vital business functionAdditional time and expense may be justified when managing the availability of VBFs



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IT Service Continuity Management (ITSCM)

Slide 45

ITIL®



Detail the purpose of IT Service Continuity Management

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IT Service Continuity Management – Purpose

PURPOSE:

To support the overall Business Continuity Management by ensuring that the required IT infrastructure and the IT service provision can be recovered within required and agreed upon business timeframes.

IT Service Continuity Management (ITSCM) provides an invaluable role in supporting the Business Continuity Planning process. In many organizations ITSCM is used to raise awareness of continuity and recovery requirements and is often used to justify and implement a Business Continuity Planning process and Business Continuity Plans. The ITSCM should be driven by business risk as identified by Business Continuity Planning and ensures that the recovery arrangements for IT services are aligned to identified business impacts, risks and needs.

It is very important to make clear that IT Service Continuity Management is NOT about dealing with incidents on a day-to-day basis. ITSCM is about disaster recovery and making sure that the appropriate continuity and recovery mechanisms are put in place to meet business needs in case of a disaster.


3 Service Design



IT Service Continuity Management – Purpose

Slide 46

Through management of the critical risks which could a ect IT services, IT Service Continuity Management supports the overall business continuity management (BCM) process by ensuring the IT service provider can always provide minimum agreed upon business continuity related service levels

Accept Avoid

Risk

Reduce Transfer



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IT Service Continuity Management – Objectives

The objectives of ITSCM are:

• To maintain a set of IT Service Continuity Plans and IT recovery plans that support the overall Business Continuity Plans (BCPs) of the organization

• To complete regular Business Impact Analysis (BIA) exercises to ensure that all continuity plans are maintained in line with changing business impacts and requirements

• To conduct regular risk assessment and management exercises, particularly in conjunction with the business and the Availability Management and Security Management processes that manage IT services within an agreed upon level of business risk

• To provide advice and guidance to all other areas of the business and IT on all continuity and recovery-related issues

• To ensure that appropriate continuity and recovery mechanisms are put in place to meet or exceed the agreed upon business continuity targets

• To assess the impact of all changes on the IT Service Continuity Plans and IT recovery plans• To ensure that proactive measures to improve the availability of services are implemented

wherever it is cost justifiable to do so• To negotiate and agree to the necessary contracts with suppliers for the provision of the

necessary recovery capability to support all continuity plans in conjunction with the Supplier Management process


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IT Service Continuity Management – Objectives

Slide 47

Develop and maintain Continuity Plans and IT recovery plans that support the overall Business Continuity Plans (BCPs)

Complete regular Business Impact Analysis (BIA) exercises

Conduct regular risk assessment and management exercises

Provide advice and guidance on all continuity and recovery-related issues

Ensure appropriate continuity and recovery mechanisms are in place to meet or exceed agreed business continuity targets

To assess the impact of all changes on the IT Service Continuity Plans and IT recovery plans

Detail the objectives of IT Service Continuity Management



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Scope of IT Service Continuity Management (ITSCM)

ITSCM focuses on events significant enough to be treated as a ‘disaster’. Less significant events will be dealt with as part of the incident management process. The impact of a loss of a business process, such as financial loss, damage to reputation or regulatory breach, is measured through a BIA exercise, which determines the minimum critical requirements. IT technical and service requirements are supported by ITSCM.

ITSCM primarily considers IT assets and configurations that support the business processes. If (following a disaster) it is necessary to relocate to an alternative working location, provision will also be required for items such as office and personnel accommodation, copies of critical paper records, courier services and telephone facilities to communicate with customers and third parties. The scope will need to take into account the number and location of the organization’s offices and the services performed in each.

ITSCM does not usually directly cover longer-term risks such as those from changes in business direction, diversification, restructuring, major competitor failure, and so on. While these risks can have a significant impact on IT service elements and their continuity mechanisms, there is usually time to identify and evaluate the risk and include risk mitigation through changes or shifts in business and IT strategies, thereby becoming part of the overall business and IT change management program.


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Scope of IT Service Continuity Management (ITSCM)

Slide 48

Align with Business Continuity Management (BCM)

Focus on business ‘Disaster’ events

IT Service Continuity Management supports the IT Service requirements

Set critical requirements for survival

IT Service Continuity Management strategy and plans

Business Impact Analysis (BIA) helps de ne ‘Disaster’

ITSCM must align with plans for business continuity



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ITSCM does not usually cover minor technical faults (for example, non-critical disk failure), unless there is a possibility that the impact could have a major impact on the business. These risks would be expected to be covered mainly through the service desk and the incident management process, or resolved through the planning associated with the processes of availability management, problem management, change management, service asset and configuration management and ‘business as usual’ operational management.

The ITSCM process includes:

• The agreement of the scope of the ITSCM process and the policies adopted

• BIA to quantify the impact loss of IT service would have on the business

• Risk assessment and management

• Production of an overall ITSCM strategy that must be integrated into the BCM strategy.

• Production of an ITSCM plan, which again must be integrated with the overall BCM plans

• Testing of the plans

• Ongoing operation and maintenance of the plans.


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BIAs should be done on a frequent basis and revisited in conjunction with major changes to the business

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Business Impact Analysis (BIA)

• The purpose of a BIA is to quantify the impact to the business that loss of service would have

• This impact could be a ‘hard’ impact that can be precisely identified – such as financial loss – or ‘soft’ impact – such as public relations, moral, health and safety or loss of competitive advantage

• The BIA will identify the most important services to the organization and will therefore be a key input to the strategy.


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Business Impact Analysis (BIA)

Slide 49

The purpose of a BIA is to quantify the impact to the business of loss of service This impact could be a ‘hard’ impact that can be precisely identi ed – such as nancial loss – or ‘soft’ impact – such as public relations, moral, health and safety

or loss of competitive advantage The BIA will identify the most important services to the organization and will therefore be a key input to the business continuity strategy



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Risk Assessments

This is an assessment of the level of threat and the extent to which an organization is vulnerable to that threat. Risk assessment can also be used in assessing and reducing the chance of normal operational incidents and is a technique used by availability management to ensure the required availability and reliability levels can be maintained. Risk assessment is also a key aspect of information security management.

A number of risk assessment and management methods are available for both the commercial and government sectors. Risk assessment is the assessment of the risks that may give rise to service disruption or security violation. Risk management is concerned with identifying appropriate risk responses or cost-justifiable countermeasures to combat those risks.

A standard methodology, such as the Management of Risk (M_o_R®), should be used to assess and manage risks within an organization.

Conducting a formal risk assessment using M_o_R® or another structured method will typically result in a risk profile, containing many risks that are outside the defined level of ‘acceptable risk’. Following the risk assessment it is possible to determine appropriate risk responses or risk reduction measures (ITSCM mechanisms) to manage the risks, i.e. reduce the risk to an acceptable level or mitigate the risk. Wherever possible, appropriate risk responses should be implemented to reduce either the impact or the likelihood, or both, of these risks from manifesting themselves. In the context of ITSCM, there are a number of risks that need to be taken into consideration


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Risk Assessments

Slide 50

Second driver in determining IT Service Continuity Management requirements is the likelihood that a disaster or other serious service disruption will actually occur

This is an assessment of the level of threat and the extent to which an organization is vulnerable to that threat

Risk assessment can also be used in assessing and reducing the chance of normal operational incidents and is a technique used by availability management to ensure the required availability and reliability levels can be maintained

Risk assessment is also a key aspect of information security management

Describe the purpose and value of a risk assessment.Revisit the concept of risk management



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Information Security Management

Slide 51

ITIL®



Detail the purpose of Information Security Management

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Information Security Management – Purpose

PURPOSE: To align IT security with business security and ensure that information security is effectively managed in all service and IT Service Management activities. Information Security Management ensures that the confidentiality, integrity and availability of an organization’s assets, information, data and IT services is maintained.

Information Security Management (ISM) ensures that an Information Security Policy is implemented, maintained and enforced that fulfills the needs of the Business Security Policy and the requirements of corporate governance. ISM raises the awareness of the need for security within all IT services and assets throughout the organization, ensuring that the Information Security Policy is appropriate for the needs of the organization. ISM manages all aspects of IT and information security within all areas of IT and Service Management activity.

ISM provides assurance of business processes by enforcing appropriate security controls in all areas of IT and by managing IT risk in line with business and corporate risk management processes and guidelines.


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Information Security Management – Purpose

Slide 52

To align IT security with business security and ensure that the con dentiality, integrity and availability of an organization’s assets, information, data and IT services matches the agreed needs of the business



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Information Security Management - Objectives

For most organizations, the security objective is met when the following are properly managed:

• Confidentiality: Information is observed by or disclosed to only those who have a right to know (e.g., passwords, swipe cards, firewalls)

• Integrity: Information is complete, accurate and protected against unauthorized modification (e.g., rollback mechanisms, test procedures, audits)

• Availability: Information is available and usable when required, and the systems that provide it can appropriately resist attacks and recover from or prevent failures (e.g., UPs, resilient systems)

• Authenticity and Non-repudiation: Business transactions, as well as information exchanges between enterprises or with partners, can be trusted


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Information Security Management – Objectives

Slide 53

Con dentiality: Information is disclosed to only those who have a right to know

Integrity: Information is complete, accurate and protected against unauthorized modi cation

Availability: Information is available and usable when required

Authenticity and Non-repudiation: Business transactions and information exchanges can be trusted

Detail the objectives of Information Security Management



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Information Security Management - Scope

Information security management should be the focal point for all IT security issues. It must ensure that an information security policy is produced, maintained and enforced that covers the use and misuse of all IT systems and services. Information security management needs to understand the total IT and business security environment, including the:

• Business security policy and plans• Current business operation and its security requirements• Future business plans and requirements• Legislative and regulatory requirements• Obligations and responsibilities with regard to security contained within SLAs• The business and IT risks and their management.

This will enable information security management to ensure that current and future security aspects and risks of the business are cost-effectively managed. Prioritization of confidentiality, integrity and availability must be considered in context with the business processes. The primary guide to defining what must be protected and the level of protection has to come from the business. To be effective, security must address entire business processes from end to end and cover the physical and technical aspects.To achieve effective information security governance, management must establish and maintain an information security management system (ISMS) to guide the development and management of a comprehensive information security program that supports the business objectives.


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Information Security Management – Scope

Slide 54

Focal point for all IT security issues

Produce, maintain, enforce a security policy

Understand the business security environment (Business security, future plans, legislature, risks and risk management)

Prioritization of con dentiality, integrity and availability

Implement and document controls

Manage supplier contracts regarding security

Manage security breaches

Information Security Management must align with Business Security ManagementInformation Security Management sets and enforces security policy by implementing controls. Information Security Management is involved on a daily basis with monitoring and managing information security



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Information Security PolicyInformation Security Management activities should be focused on and driven by an overall Information Security Policy and a set of underpinning specific security policies. The ITP should have the full support of top executive IT management and ideally the support and commitment of top executive business management. The policy should cover all areas of security, be appropriate, meet the needs of the business and should include:

• An overall Information Security Policy• Use and misuse of IT assets policy• An access control policy• A password control policy• An email policy• An Internet policy• An anti-virus policy• An information classification policy• A document classification policy• A remote access policy• A policy with regard to supplier access of IT service, information and components• An asset disposal policy.

These policies should be widely available to all customers and users, and their compliance should be referred to in all SLRs, SLAs, contracts and agreements. The policies should be authorized by top executive management within the business and IT, and compliance to them should be endorsed on a regular basis. All security policies should be reviewed – and, where necessary, revised – on at least an annual basis.


3 Service Design



Information Security Policy

Slide 55

The policy that governs to organization’s approach to Information Security Management. The Security Policy should cover:

Use and misuse of IT assets policy An access control policy A password control policy An email, Internet and anti-virus policy An information classi cation policy A document classi cation policy A remote access policy A policy with regard to supplier access of IT service, information and components An asset disposal policy

The Information Security Policy is actually a ‘policy of policies’ that together address all aspects of information security



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3 Service Design



Supplier Management

Slide 56

ITIL®



The defined purpose of Supplier Management is to ensure value for money is obtained

Page 180


Supplier Management – Purpose

Supplier Management aligns with all corporate requirements and the requirements of all other IT and SM processes, particularly ISM and ITSCM. This ensures that the business obtains value from supporting supplier services and that they are aligned with business needs.

The purpose of the Supplier Management process is to obtain value for money from suppliers and to ensure that suppliers perform to the targets contained within their contracts and agreements while conforming to all of the terms and conditions. The process ensures that suppliers and the services they provide are managed to support IT service targets and business expectations.


3 Service Design



Supplier Management – Purpose

Slide 57

To obtain value for money from suppliers Suppliers are third-party entities responsible for supplying goods and services required to deliver IT services Supplier management ensures suppliers and the services they provide are managed to support IT service targets and business exceptions

Customers

Those (making decisions on) buying goods

Those using services on a day-

to-day basis

Users

Third party responsible for supplying goods or services

required to deliver IT Services

Suppliers



Page 181


Supplier Management - Objectives

The main objectives of the Supplier Management process are to:

• Obtain value for money from supplier and contracts

• Ensure that underpinning contracts and agreements with suppliers are aligned to business needs, and support and align with agreed upon targets in SLRs and SLAs, in conjunction with SLM

• Manage relationship’s with suppliers

• Manage supplier performance

• Negotiate and agree upon contracts with suppliers and manage them through their lifecycle

• Maintain a supplier policy and a supporting SCMIS

The following processes are involved in the stages of the contract lifecycle:

• Evaluation of new suppliers and contracts

• Supplier categorization and maintenance of the SCMIS

• Establishing new suppliers and contracts

• Supplier and contract management and performance

• Contract renewal and/or terminationMaterial in this document has been sourced from ITIL ® Lifecycle Suite, 2011 edition. No part of this document may be reproduced in any form without the written permission of both Quint Wellington Redwood and AXELOS Limited. Permission can be requested at www.quintgroup.com and [email protected].

3 Service Design



Supplier Management – Objectives

Slide 58

Obtain value for money from supplier and contracts

Ensure that underpinning contracts and agreements with suppliers are aligned to business needs

Support and align with agreed upon targets in SLRs and SLAs, in conjunction with SLM

Manage relationships with suppliers

Manage supplier performance

Negotiate and agree upon contracts with suppliers and manage them through their lifecycle

Detail the objectives of Supplier Management



Page 182


Supplier Management - ScopeThe supplier management process should include the management of all suppliers and contracts needed to support the provision of IT services to the business. Each service provider should have formal processes for the management of all suppliers and contracts. However, the processes should adapt to cater for the importance of the supplier and/or the contract and the potential business impact on the provision of services. Many suppliers provide support services and products that independently have a relatively minor, and fairly indirect, role in value generation, but collectively make a direct and important contribution to value generation and the implementation of the overall business strategy.The greater the supplier contribution to the business , the more effort the service provider should put into management of that supplier and the more that supplier should be involved in the development and realization of the business strategy. The smaller the supplier’s contribution, the more it will be managed mainly at an operational level, with limited interaction with the business. It may be appropriate in some organizations, particularly large ones, to manage internal teams and suppliers, where different business units may provide support of key elements.The supplier management process should include:

• Implementation and enforcement of the supplier policy• Maintenance of an SCMIS• Supplier and contract categorization and risk assessment• Supplier and contract evaluation and selection• Development, negotiation and agreement of contracts• Contract review, renewal and termination• Management of suppliers and supplier performance• Identify improvement opportunities for the CSI register, and service and supplier improvement plans• Maintenance of standard contracts, terms and conditions• Management of contractual dispute resolution• Management of sub-contracted suppliers.


3 Service Design



Supplier Management – Scope

Slide 59

Management of all suppliers and contracts needed for the IT services

Provide insight in the impact of contracts on services

Understand how groups of individual contracts can contribute to value creation

Prioritize how attention is divided across suppliers and contracts

Maintenance and reviews of contracts

Supplier Improvement plans

Supplier Management manages the entire lifecycle of suppliers



Page 183


Supplier Categorization

Strategic - For significant ‘partnering’ relationships that involve senior managers sharing confidential strategic information to facilitate long-term plans. These relationships would normally be managed and owned at a senior management level within the service provider organization, and would involve regular and frequent contact and performance reviews. These relationships would probably require involvement of Service Strategy and service design resources, and would include ongoing specific improvement programs (e.g. a network service provider supplying worldwide network service and their support).

Tactical - For relationships involving significant commercial activity and business interaction. These relationships would normally be managed by middle management and would involve regular contact and performance reviews, often including on-going improvement programs (e.g. a hardware maintenance organization providing resolution of server hardware failures).

Operational - For suppliers of operational products or services. These relationships would normally be managed by junior operational management and would involve infrequent but regular contact and performance reviews (e.g. an internet hosting service provider, supplying hosting space for a low-usage, low-impact website or internally used IT service).

Commodity - For suppliers providing low-value and/or readily available products and services,which could be alternatively sourced relatively easily (e.g. paper or printer cartridge suppliers).


3 Service Design



Supplier Categorization

Slide 60

The supplier management process should be adaptive and managers should spend more time and e ort managing suppliers based on their importance to your organization

High

Medium

Low

Low Medium High

Risk and impact

Valu

e an

d im

port

ance

Operational suppliers

Strategic suppliers

Tactical suppliers

Operational suppliers

Commodity supplier

Not all suppliers have the same value to the service provider organizationThe more strategic the supplier, the more time and effort should be invested in managing the relationship



Page 184



3 Service Design



Challenge


Slide 61

ITIL®



The correct answer is B: 1, 3 and 4The 5 aspects include Solution, Tools, Architecture, Measurement and metrics and ProcessSelection 2 describes the 4Ps – which is a separate concept from the 5 aspects of design

Page 185




3 Service Design



The ve aspects of service design include which of the following: 1. Service solution for new or changed services 2. People, process, partners and products 3. Technology architectures and management

architectures 4. Measurement methods and metrics

Answer A. All of the above B. 1, 3 and 4 C. 3 and 4 only D. 1 only

Slide 62

1.



Page 186




3 Service Design



The lifecycle stage that starts with a set of new or changed business requirements and ends with the development of a service solution designed to meet the documented needs of the business is: Answer A. Service Operation B. Service Portfolio Management C. Service Design Package D. Service Design

Slide 63

2. The correct answer is D: Service DesignThe question asks about a lifecycle phase. Service Portfolio Mangement is a process (not a lifecycle phase) and the Service Design Package is an output of the Service Design lifecycle phase – so both these answers may be easily disqualified.Service Operation is the phase involved in service provision in the live environment. This is also an incorrect answerThe question correctly identifies the scope of the Service Design lifecycle phase



Page 187




3 Service Design



People, process, products and partners are BEST known as: Answer A. A holistic approach to Service Design B. Service Design Package C. Aspects of Design D. The four P’s of Service Design

Slide 64

3. The correct answer is D: The four P’s of Service DesignThe four P’s are People, Process, Products and Partners



Page 188




3 Service Design



The availability aspect of maintainability is a measure of: Answer A. How long a service, component or CI can perform its

agreed function without interruption B. How quickly and e ectively a service, component or

CI can be restored to normal working after a failure C. The ability of a third-party supplier to meet the

terms of its contract D. The ability of a service, component or CI to perform

its agreed function when required

Slide 65

4. The correct answer is B: How quickly and effectively a service, component or CI can be restored to normal working after a failureAnswer A describes the concept of ReliabilityAnswer C describes ServiceabilityAnswer D describes Availability



Page 189




3 Service Design



Capacity Management has the following sub-processes: Answer A. Business Capacity Management B. Component Capacity Management C. Service Capacity Management D. All of the above

Slide 66

5. The correct answer is D: All of the aboveThis question correctly mentions all three sub-processes within Capacity Management



Page 190




3 Service Design



The objectives of Service Catalog Management is BEST described as: Answer A. Manage the information contained in the Service

Catalog B. Ensure the Service Catalog is made available to

those approved to access it C. Ensure the service catalog supports the evolving

needs of all service management processes for service catalog information

D. All of the above are objectives of Service Catalog Management

Slide 67

6. The correct answer is D: All of the aboveThis question correctly provides some of the key objectves of Service Catalog Management



Page 191




3 Service Design



The Service Design process of _______________ produces the Service Design Package for hando to Transition Planning and Support Answer A. Service Level Management B. IT Service Continuity Management C. Design Coordination D. Vital Business Function

Slide 68

7. The correct answer is C: Design CoordinationDesign Coordination is the process responsible for producing the Service Design Package and handing it off to Transition Planning and Support within Service TransitionNote that answer D is not a process, but is a concept discussed during this section



Page 192




3 Service Design



Service Level Management is focused on agreeing ________ and _______ while Supplier Management is focused on maintaining _________ Answer A. SLA, contracts, OLA B. SLA, OLA, contracts C. Processes, measurements, partners D. SLR, measurements, shipments

Slide 69

8. The correct answer is B: SLA, OLA and contractsThe focus of SLM is on negotiating SLAs and OLAsThe Service Design process of Supplier Management is responsible for agreeing and managing contracts



Page 193



3 Service Design



Service Design

Thank you for your attention

Slide 70

ITIL®



Page 195



4 Service Transition



Service Transition

Module 4

1

ITIL®

Slide

Explain the goals, objectives and value of Service TransitionService Transition includes build, test, deployment and early life support.Remind the learners that the major output from Service Design is the Service Design Package.It is important that the SDP contains a blueprint of everything that will be needed by transition and ultimately by operation when the service moves into the live environment. The SDP itself is a virtual model of the service, so we need a vehicle to transition the service into reality. This activity is support within the Service Transition lifecycle phase.



Page 197







Demand Management




Management


Supplier Management


Design Coordination


Capacity Management



Support

Change Management



Event Management

Incident Management

Request Ful lment

Access Management


Problem Management




Testing

Change Evaluation


IT Services

Service Desk





2




Slide

In this course we will talk about 5 of the Service Transition processes:

• Transition Planning and Support• The control processes of:

• Change Management • Service Asset and Configuration Management

• Release and Deployment Management• Knowledge Management

There are two other processes within Service Transition, but these processes are deemed out of scope for ITIL Foundation:

• Service Validation and Testing• Change Evaluation



Page 198


Service Transition Within The lifecycle

Business environments are in a constant state of transition, and as such, so are the services required from IT. To ensure these services are being designed and implemented properly, an effective Service Transition process is critical.

Service Transition takes its shape and input from the strategy set by the organization, and also from the new (or changed) services it is attempting to bring into live operation (i.e., by the output of the Service Design stage). Therefore, its very nature is dependent upon its relationship with “upstream areas.”

The success of Service Transition is in the ability of Service Operation (the day-to-day management of services) to support the business processes via the installed service base. The mechanism for achieving the goal is secondary and adaptive—and this applies whether an organization is transitioning service designs into business support or components and materials into products.





The Service Design Package is the “blue print” of all pieces of the puzzle Virtual model of the service covering all 4 P’s

Build, test, deploy and early life support Ensures that the transition is done within the time, quality and budget requirements

ITIL® The Service is operational and has no missing pieces The service e ectively supports the customer outcome

Service Transition Within The Life Cycle

3 Slide

Service Transition is the lifecycle phase that ‘sits’ between Service Design and Service Operation. In this phase, the plans that were developed during Service Design are executed and the new or changed services are introduced into the live evironment in a controlled manner.The SDP coming from Service Design provides the ‘blue print’ of all the new or changed service requirements. By carefully developing, testing and implementing the service as designed, risk of introducing a service that does not effectively support the customer outcome is reduced.



Page 199


Service Transition – Main Purpose

The purpose of the Service Transition stage of the service lifecycle is to ensure that new, modified or retired services meet the expectations of the business as documented in the Service Strategy and service design stages of the lifecycle. It involves:

• Setting customer expectations on how the performance and use of the new or changed services may be used to enable positive business change.

• Reducing variations in the predicted and actual performance of the transitioned services.

• Reducing the Known Errors and minimize the risks from transitioning the new or changed services into production.

Thus, Service Transition, in essence, describes how to transition an organization from one state to another while controlling risk and supporting organizational knowledge for decision support. It ensures that the value(s) identified in the Service Strategy, and encoded in service design, are effectively transitioned so that they can be realized in service operation.





Service Transition - Main Purpose

4

Build, test and deploy new or changed services

Slide

How can a Service Provider ensure service changes create the expected business value?

Ensure that new, modi ed or retired services meet the expectations of the business as documented in the service strategy and service design stages of the lifecycle

How can a Service Provider reduce risk attributed to change?

How can a Service Provider successfully deploy services into production?

Reiterate the main purpose of the Service Transition lifecycle phase



Page 200


Service Transition – Objectives

The objectives are to:

• Plan and manage service changes efficiently and effectively

• Manage risks relating to new, changed or retired services

• Successfully deploy service releases into supported environments

• Set correct expectations on the performance and use of new or changed services

• Ensure that service changes create the expected business value

• Provide good-quality knowledge and information about services and service assets.





Service Transition - Objectives

5

Manage risk related to new, changed or retired services

Successfully deploy services

Manage expectations on performance and use of new or changed services

Ensure service changes produce the expected business value

Provide quality knowledge and information for use across the organization

Plan and manage service changes e ciently and e ectively

Slide

Detail the objectives of Service Transtion



Page 201


Service Transition – Scope

ITIL® Service Transition provides guidance for the development and improvement of capabilities for transitioning new and changed services into supported environments, including release planning, building, testing, evaluation and deployment. The publication also considers service retirement and transfer of services between service providers. The guidance focuses on how to ensure that the requirements from service strategy, developed in service design, are effectively realized in service operation while controlling the risks of failure and subsequent disruption.





Service Transition - Scope

6 Slide

Guidance for development and improvement of capabilities for transitioning new or changed services into supported environments

Ensures that requirements from Service Strategy, developed during Service Design, are e ectively realized in Service Operation while controlling risks of failure and disruption

Includes release planning, testing, evaluation and deployment

Detail the scope of Service Transition



Page 202


Service Transition – Value to the Business

Effective Service Transition may significantly improve a Service Provider’s ability to handle high volume of changes and releases across its customer base. It enables the Service Provider to:

• Align the new or changed service with the customer’s business requirements and business operations

• Ensure that customers and users can use the new or changed service in a way that maximizes value to the business operations

Specifically, Service Transition adds value to the business by improving:• Enable projects to estimate the cost, timing, resource requirement and risks associated with the

Service Transition stage more accurately• Result in higher volumes of successful change• Make it easier for people to adopt and follow• Enable Service Transition assets to be shared and re-used across projects and services• Reduce delays from unexpected clashes and dependencies – for example, if multiple projects need

to use the same test environment at the same time• Reduce the effort spent on managing the Service Transition test and pilot environments• Improve expectation setting for all stakeholders involved in Service Transition including customers,

users, suppliers, partners and projects• Increase confidence that the new or changed service can be delivered to specification without

unexpectedly affecting other services or stakeholders• Ensure that new or changed services will be maintainable and cost-effective• Improve control of service assets and configurations.





Improve control of service assets

Activities result in higher volumes of successful change

Reduce delays from unexpected clashes and dependencies

Improve management of expectations for all stakeholders

Increase con dence that the new or changed service can be delivered to speci cation without adverse impact on other services or stakeholders

Ensure new or changed services will be maintainable and cost-e ective

Service Transition - Value to Business

7 Slide

The value of Service Transition lies in the control these activities bring to the environment.



Page 203






Service Asset and Con guration Management


8

ITIL®

Slide

SACM is also a ‘control’ process. SACM and Change are symbiotic in nature



Page 204


Service Asset and Configuration Management – Purpose

The purpose of the Service Asset and Configuration Management (SACM) process is to ensure that the assets required to deliver services are properly controlled, and that accurate and reliable information about those assets is available when and where it is needed. This information includes details of how the assets have been configured and the relationships between assets.





Service Asset and Con guration Management - Purpose

9 Slide

Ensure that the assets required to deliver services are properly controlled and that accurate and reliable information about those assets is available when and where it is needed

“When you have a clock in your house, you know the time – once you get two clocks, you are no longer certain” ~ Danish Proverb

Detail the purpose of SACM. To be useful, SACM repositiories must be accurate and reliable.



Page 205


Service Asset and Configuration Management – Objectives

The objectives of Service Asset and Configuration Management (SACM) are to:

• Ensure that assets under the control of the IT organization are identified, controlled and properly cared for throughout their lifecycle.

• Identify, control, record, report, audit and verify services and other Configuration Items (CIs), including versions, baselines, constituent components, their attributes and relationships.

• Account for, manage and protect the integrity of CIs through the service lifecycle by working with Change Management to ensure that only authorized components are used and only authorized changes are made.

• Ensure the integrity of CIs and configurations required to control the services by establishing and maintaining an accurate and complete Configuration Management System (CMS).

• Maintain accurate configuration information on the historical, planned and current state of services and other CIs.

• Support efficient and effective service management processes by providing accurate configuration information to enable people to make decisions at the right time – for example to authorize changes and releases, or to resolve incidents and problems.





Service Asset and Con guration Management - Objectives

10

Maintain accurate con guration information

Establish and maintain an accurate and complete CMS

Support e cient and e ective service management processes by providing accurate con guration information

Work with Change Management to ensure only authorized components are used and only authorized changes are made

Identify, control, record, report, audit and verify services and other CIs

Slide

Detail the objectives of SACM



Page 206


Service Asset and Configuration Management – Scope & Activities

The scope of Service Asset and Configuration Management (SACM) includes management of the complete lifecycle of every Configuration Item (CI).

Service Asset and Configuration Management (SACM) ensures that Configuration Items (CIs) are identified, baselined and maintained and that changes to them are controlled. It also ensures that releases into controlled environments and operational use are done on the basis of formal authorization.

It provides a configuration model of the services and service assets by recording the relationships between configuration items.

Process activities include:

• Management and planning

• Configuration Identification

• Configuration Control

• Status Accounting and reporting

• Verification & Audit





Service Asset and Con guration Management - Scope

11 Slide

Ensures CIs are identi ed, baselined, maintained and that changes to them are controlled

Includes the complete lifecycle of every CI:

Management and planning for SACM

Con guration identi cation

Con guration control

Status accounting and reporting

Veri cation and audit

SACM covers the entire lifecycle of CIs



Page 207


Vocabulary

Vocabulary of Service Asset and Configuration Management process includes:

• Service Asset (SA): Any resource or capability that could contribute to the delivery of a service.

• Configuration Item (CI): A service asset that needs to be managed in order to deliver an IT service.

• Configuration Management Database (CMDB): One or more databases used to store configuration records throughout their lifecycle.

• Configuration Management System (CMS): A set of tools, data and information used to support SACM

• Service Knowledge Management System (SKMS): A set of tools, information and data used to manage knowledge, information and data

• Definitive Media Library (DML): One or more locations in which the definitive and authorized versions of all software CIs are securely stored.





Vocabulary

12

any resource or capability that could contribute to the delivery of a service

Con guration Item

Con guration Management Database

Con guration Management System

Service Knowledge Management System

De nitive Media Library

a service asset that needs to be managed in order to delivery an IT service

one or more databases used to store con guration records throughout their lifecycle

a set of tools, data and information used to support SACM

a set of tools and databases used to manage knowledge, information and data

one or more locations in which the de nitive and authorized version of all software CIs are securely stored

Service Asset

Slide

Con guration Baseline the con guration of a service, product or infrastructure that has been formally reviewed and agreed



Page 208


Configuration Management System

The Configuration Management System (CMS) holds all the information about Configuration Items (CIs) within the designated scope. Some of these items will have related specifications or files that contain the contents of the item (e.g. software, document or photograph), and these should be stored in the Service Knowledge Management System (SKMS). For example, a service CI will include the details such as supplier, cost, purchase date and renewal date for licenses and maintenance contracts; related documentation such as Service Level Agreements (SLAs) and underpinning contracts will be in the SKMS.

The above figure shows the relationship between configuration records, stored in the CMS, and the actual CIs, which may be stored in the SKMS or may be physical assets outside the SKMS.





1 2 3654

Con guration Management System

13

SKMS

CMS

The CMS is part of the

SKMS

Con guration records are

stored in CMDBs in the

CMS

Some CIs (such as SLAs or release plans) are in the

SKMS

Other CIs (such as users and servers)

are outside the SKMS

Each con guration record points to

and describes a CI

Slide

The full configuration management system includes one or more CMDBs that store information on CI, their attributes and interfaces. CMDBs are federated at the Configuration Management System (CMS) level where pointers to associated items such as incidents, problems, changes and know errors are held.The CMS in turn, forms a part of the Service Knowledge Management System where additional information (such as resource or external vendor data) can be found.



Page 209


Definitive Media Library

The Definitive Media Library (DML) is the secure library in which the definitive authorized versions of all media CIs are stored and protected. It stores master copies of versions that have passed quality assurance checks. This library may in reality consist of one or more software libraries or file-storage areas, separate from development, test or live file store areas. It contains the master copies of all controlled software in an organization. The DML should include definitive copies of purchased software (along with license documents or information), as well as software developed on site. Master copies of controlled documentation for a system are also stored in the DML in electronic form.





De nitive Media Library

14

Physical CIs

DML CMS

CMDB

Build New Release

Electronic CIs

Test New Release

Deploy New Release

Information About CIs

Slide

The DML may have both electronic and physical aspects.Definitive copies of all software Cis are stored in the DML (software code, license information, COTS, documentation, etc.)



Page 210






Transition Planning and Support


15

ITIL®

Slide



Page 211


Transition Planning and Support – Purpose

The purpose of the Transition Planning and Support process is to provide overall planning for Service Transitions and to coordinate the resources that they require.





Transition Planning and Support - Purpose

16 Slide

Provide overall planning for service transitions and coordinate required resources

Transition Planning Coordination and Support

? WHERE

WHEN WHY

WHAT

HOW WHO

Transition Planning and Support coordinates resources required for the activities and multiple concurrent Service Transition projects



Page 212


Transition Planning and Support – Objectives

The objectives of Transition Planning and Support are to:• Plan and coordinate the resources to ensure that the requirements of service strategy

encoded in service design are effectively realized in service operation.• Coordinate activities across projects, suppliers and service teams where required• Establish new or changed services into supported environments within the predicted

cost, quality and time estimates.• Establish new or modified management information systems and tools, technology

and management architectures, service management processes, and measurement methods and metrics to meet requirements established during the service design stage of the lifecycle.

• Ensure that all parties adopt the common framework of standard re-usable processes and supporting systems in order to improve the effectiveness and efficiency of the integrated planning and coordination activities.

• Provide clear and comprehensive plans that enable customer and business change projects to align their activities with the Service Transition plans.

• Identify, manage and control risks, to minimize the chance of failure and disruption across transition activities; and ensure that Service Transition issues, risks and deviations are reported to the appropriate stakeholders and decision makers.

• Monitor and improve the performance of the Service Transition lifecycle stageMaterial in this document has been sourced from ITIL ® Lifecycle Suite, 2011 edition. No part of this document may be reproduced in any form without the written permission of both Quint Wellington Redwood and AXELOS Limited. Permission can be requested at www.quintgroup.com and [email protected].




Transition Planning and Support - Objectives

17

Manage costs, quality and time estimates

Establish new or modi ed services, tools, processes, measurement methods

Ensure reusable processes and supporting systems

Identify, manage and control risks

Monitor and improve performance of the Service Transition lifecycle stage

Coordinate activities across projects, suppliers and service teams

Slide

Detail the objectives of Transition Planning and Support



Page 213


Transition Planning and Support – Scope

The scope of Transition Planning and Support includes:

• Maintaining policies, standards and models for Service Transition activities and processes

• Guiding each major change or new service through all the Service Transition processes

• Coordinating the efforts needed to enable multiple transitions to be managed at the same time

• Prioritizing conflicting requirements for Service Transition resources

• Planning the budget and resources needed to fulfil future requirements for Service Transition

• Reviewing and improving the performance of Transition Planning and Support activities

• Ensuring that Service Transition is coordinated with program and project management, service design and service development activities.

Transition Planning and Support is not responsible for detailed planning of the build, test and deployment of individual changes or releases; these activities are carried out as part of Change Management and Release and Deployment Management.





Transition Planning and Support - Scope

18 Slide

Maintaining policies, standards and models for Service Transition activities and processes

Planning budget and resources needed for future Service Transition requirements

Understand the business security environment (Business security, future plans, legislature, risks and risk management)

Coordinating e orts to enable multiple transitions to be managed at the same time

Prioritizing con icting requirements for Service Transition resources

Ensuring Service Transition is coordinated with program and project management

Detail the scope of Transition Planning and Support



Page 214






Change Management

Purpose Objectives Scope Concepts Activities Interfaces

19

ITIL®

Slide



Page 215


Change Management – Purpose

Change can be defined in many ways. The ITIL® definition of a change is ‘the addition, modification or removal of anything that could have an effect on IT services’. The scope should include changes to all architectures, processes, tools, metrics and documentation, as well as changes to IT services and other configuration items.

The purpose of the Change Management process is to control the lifecycle of all changes, enabling beneficial changes to be made with minimum disruption to IT services.





Control the lifecycle of all changes, enabling bene cial changes to be made with minimum disruption to IT services Change is the addition, modi cation or removal of anything that could have an e ect on IT services

Change Management - Purpose

20 Slide

Change Stability

Change Management is a control process that provides required oversight to ensure that necessary changes are made while minimizing disruption to the live environment. Change Management effectively has a relationship to all other processes within the service lifecycle



Page 216


Change Management - Objectives

The objectives of Change Management are to:

• Respond to the customer’s changing business requirements while maximizing value and reducing incidents, disruption and re-work.

• Respond to the business and IT requests for change that will align the services with the business needs.

• Ensure that changes are recorded and evaluated, and that authorized changes are prioritized, planned, tested, implemented, documented and reviewed in a controlled manner.

• Ensure that all changes to configuration items are recorded in the configuration management system.

• Optimize overall business risk – it is often correct to minimize business risk, but sometimes it is appropriate to knowingly accept a risk because of the potential benefit.





Change Management - Objectives

21

Ensure changes are recorded, evaluated and prioritized

Ensure all changes to CIs are recorded in the CMDB

Optimize overall business risk

Respond to customer’s changing business requirements while maximizing value and reducing incidents, disruption and rework

Respond to business and IT requests for change that will align services with business needs

Slide

Detail the objectives of Change Management



Page 217


Change Management – Scope

The scope should include changes to all architectures, processes, tools, metrics and documentation, as well as changes to IT services and other configuration items.

All changes must be recorded and managed in a controlled way. The scope of Change Management covers changes to all configuration items across the whole service lifecycle, whether these Configuration Items (CIs) are physical assets such as servers or networks, virtual assets such as virtual servers or virtual storage, or other types of asset such as agreements or contracts.

It also covers all changes to any of the five aspects of service design:

• Service solutions for new or changed services, including all of the functional requirements, resources and capabilities needed and agreed

• Management information systems and tools, especially the service portfolio, for the management and control of services through their lifecycle

• Technology architectures and management architectures required to provide the services

• Processes needed to design, transition, operate and improve the services

• Measurement systems, methods and metrics for the services, the architectures, their constituent components and the processes





Change Management - Scope

22 Slide

Covers changes to all CIs across the entire lifecycle:

Service solutions for new or changed services including all functional requirements

Management information systems and tools, especially the service portfolio

Technology architectures and management architectures required to provide the services

Processes needed to design, transition, operate and improve services

Measurement systems, methods and metrics for the services, architectures, components and processes

Detail the scope of Change Management. This process has impact across the entire ITIL Service lifecycle



Page 218


Change Management - Value to Business

Reliability and business continuity are essential for the success and survival of any organization. Service and infrastructure changes can have a negative impact on the business through service disruption and delay in identifying business requirements, but Change Management enables the service provider to add value to the business by:

• Protecting the business, and other services, while making required changes• Implementing changes that meet the customers’ agreed service requirements while

optimizing costs• Reducing failed changes and therefore service disruption, defects and re-work• Reducing the number of unauthorized changes, leading to reduced service disruption and

reduced time to resolve change-related incidents• Delivering changes promptly to meet business timescales• Tracking changes through the service lifecycle and to the assets of its customers• Contributing to better estimates of the quality, time and cost of changeAssessing the risks

associated with the transition of services (introduction or disposal)• Improving productivity of staff by minimizing disruptions caused by high levels of unplanned

or ‘emergency’ change and hence maximizing service availability• Reducing the mean time to restore service (MTRS), via quicker and more successful

implementations of corrective changes• Liaising with the business change process to identify opportunities for business improvement





Protecting the business and other services while making required changes

Implementing changes that meet the customers’ agreed service requirements while optimizing costs

Reducing failed changes, reducing number of unauthorized changes

Assessing risks associated with transition of services

Improving productivity of sta by minimizing disruption caused by high levels of unplanned ‘emergency’ changes

Change Management - Value to Business

23 Slide

Change Management protects the business and other services by providing the oversight needed to mitigate risk as well as control the impact of changes.



Page 219


Change Management - Basic ConceptsPoliciesIncreasing the success rate of changes and releases requires executive support for implementing a culture that sets stakeholder expectations about changes and releases and reduces unplanned work.Pressure will be applied to reduce timescales and meet deadlines; to cut budgets and operating costs; and to compromise testing. This must not be done without due diligence to governance and risk. The Service Transition management team will be called on from time to time to make a ‘no go’ decision and not implement a required change.There must be policies and standards defined which make it clear to the internal and external providers what must be done and what the consequences of non-adherence to policy will be.Policies that support Change Management include:

• Creating a culture of Change Management across the organization where there is zero tolerance for unauthorized change

• Aligning the Change Management process with business, project and stakeholder Change Management processes

• Ensuring that changes create business value and that the benefits for the business created by each change are measured and reported

Design and planning considerationsThe Change Management process should be planned in conjunction with Release and Deployment Management and Service Asset and Configuration Management. This helps the service provider to evaluate the impact of the change on the current and planned services and releases.





Change Management – Basic Concepts

24

Policies

Slide

Creating a culture where there is zero tolerance for unauthorized change Aligning Change Management process with business, project and stakeholder processes Ensuring changes create business value Integration with other service management processes to establish traceability of change and identify change-related incidents

Design and Planning

Change Management should be planned in conjunction with release and deployment management and service asset and con guration management to ensure synergies

Best practice directs that unauthorized changes should be allowed and that all changes should be carefully managed.Change Management has strong ties to Release and Deployment Management and Service Asset and Configuration Management. Therefore, these processes should be carefully aligned.



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Change Management – Types of Changes

Service changes can be broadly classified as following:

Emergency Change - The Emergency Change designation is reserved for changes intended to repair an error in an IT service that is negatively impacting the business to a high degree. Procedures should be devised to deal with them quickly, without sacrificing normal management controls. Changes intended to introduce immediately required business improvements are handled as Normal Changes, assessed as having the highest urgency.

As much testing of the Emergency Change as possible should be carried out. Completely untested changes should not be implemented if at all avoidable. Clearly, if a change goes wrong, the cost is usually greater than that of adequate testing. Consideration should be given to how much it would cost to fully test all changes with the cost of the change failing factored by the anticipated likelihood of its failure.

Normal Change - Normal Changes (such as changes to Service Portfolios, service definitions, project changes, user access, operational changes) must follow the “normal” Change Management process, and may be further categorized as changes that are major, minor, or significant in nature and they must be referred to the various levels of management for the final authorization.

Standard Change - A pre-authorized change that is low risk, relatively common and follows a procedure or work instruction.





Change Management – Types of Changes

25

Must be implemented as soon as possible High risk Normally follow a streamlined procedure

Emergency Change

Preauthorized Low risk Relatively common Follows procedure or work instruction

Standard Change

Any change that is not standard or emergency Unique Risk must be evaluated Follows steps of de ned Change Management process

Normal Change

Slide

There are three types of changes identified within ITIL:• Emergency Changes are changes required to remedy

a fault. In most cases, emergency changes have a higher urgency for completion and shortcut some change activities (such as documentation or full testing). Therefore, by definition, emergency changes have a high level of risk. Emergency changes might include changes to fix a security vulnerability.

• Standard Changes are well understood, common changes that follow a standardized methodology. Because this type of changes are well understood, risk is low. An example of a standard change might be the activities necessaary to onboard a new employee.

• All other changes are Normal Changes. The level of risk for normal changes must be accessed



Page 221


Change Models

Organizations will find it helpful to predefine change models – and apply them to appropriate changes when they occur. A change model is a way of predefining the steps that should be taken to handle a particular type of change in an agreed way. Support tools can then be used to manage the required process. This will ensure that such changes are handled in a predefined path and to predefined timescales.

Changes that require specialized handling could be treated in this way, such as:• Emergency changes that may have different authorization and may be

documented retrospectively• Changes to mainframe software that may require specific sequences of testing

and implementation

The change model includes:• Steps that should be taken to handle the change, including handling issues and

unexpected events• The chronological order in which these steps should be taken, with any dependences or

co-processing defined• Responsibilities – who should do what (including identification of those change

authorities who will authorize the change and who will decide whether formal change evaluation is needed)

• Timescales and thresholds for completion of the actions• Escalation procedures – who should be contacted and when.





Repeatable way of dealing with a particular category of change

UUsseedd ffoorr::

Standard changes

Changes that require specialized handling

Emergency changes

Changes that require speci c sequences of testing and implementation

Change Models

Slide 26

Change models are documented, repeatable procedures for managing specific categories of changes. Change models include the steps to be taken, the order in which the steps should occur, who has responsibility for which steps, timescales and thresholds associated with the model and escalation procedure.



Page 222


Remediation Planning

No change should be approved without having explicitly addressed the question of what to do if it is not successful. Ideally, there will be a back-out plan, which will restore the organization to its initial situation, often through the reloading of a baselined set of CIs, especially software and data. However, not all changes are reversible, in which case an alternative approach to remediation is required. This remediation may require a revisiting of the change itself in the event of failure, or may be so severe that it requires invoking the organization’s business continuity plan. Only by considering what remediation options are available before instigating a change, and by establishing that the remediation is viable (e.g., it is successful when tested), can the risk of the proposed change be determined and the appropriate decisions taken.





Remediation Planning

Slide 27

Actions taken to recover after failed change or release

Could be pre-requisite to authorization

Might include:

Back out procedure

Invocation of service continuity plans

Milestones and triggers for remediation

In order to fully understand the risk associated with a change, knowledge of the actions required to backout or reverse a change are necessary.No change should be authorized that does not include a description of remediation actions.



Page 223


Change Management – Vocabulary

Request for Change (RFC):The Request for Change (RFC) is the formal request for a change and may be issued by anyone involved in the service, including an end-user, IT staff or management from business or IT. The RFC is the starting point for the Change Management process and is often restricted to a certain format or required information.Procedures for documenting and receiving RFCs should be decided. All RFCs received should be logged and assigned a unique identification number (ideally in chronological sequence). Where Requests for Change are submitted in response to a trigger such as a resolution to a Problem Record (PR), it is important that the reference number of the triggering document is retained to provide traceability.Change Proposal:For those cases where a change has significant organization and/or financial implications, an RFC may not be sufficient, and a Change Proposal must be submitted. This Change Proposal requires the full description of the change, together with a business and financial justification for the change. It requires sign-off by appropriate levels of business management.Major changes that involve significant cost, risk or organizational impact will usually be initiated through the Service Portfolio Management process. Before the new or changed service is chartered it is important that the change is reviewed for its potential impact on other services, on shared resources, and on the change schedule.





Change Management – Vocabulary

28

High level description of change

Business case

Tentative implementation schedule

Created by Service Portfolio Management

Authorized by Change Management

Change Proposal

Slide

A formal proposal for a change to be made. Includes details of the proposed change, and may be recorded on paper or electronically

Request For Change (RFC) Detail the ways in which a change may be initiated. Stress that the majority of changes will be initiated by means of and RFC, but major changes may be initiated via a change proposal (which normally is created by Service Portfolio Management)



Page 224


Normal Change Lifestyle

Typically Change Management activities include:

• Create and record the RFC

• Review the RFC

• Assess and evaluate the change

• Authorize the change

• Plan updates

• Coordinate change implementation

• Review and close change





Normal Change Lifecycle

29

Create and record request for change

Review RFC

Assess and evaluate change

Authorize change build and test

Coordinate change build and test

Authorize change deployment

Coordinate change deployment

Review and close change record

Slide

Change Management is the second process we have encountered that requires that the learner understand the activities within the process.The next several slides detail the activities of Change Management that are presented on this slide.



Page 225


Normal Change Lifecycle Activities

Create and record RFC

The change is raised by a request from the initiator – the individual or organizational group that requires the change. For example, this may be a business unit that requires additional facilities or Problem Management staff instigating an error resolution.

The procedures for logging and documenting RFCs should be decided and all RFCs received should be logged and allocated an identification number (in chronological sequence).

Review RFC

As changes are logged, Change Management should ensure that all required information has been provided and filter out any requests that seem to be:

• Totally impractical

• Repeats of earlier RFCs, accepted, rejected or still under consideration

• Incomplete submissions, e.g. those that contain inadequate descriptions or that do not have necessary budgetary approval.






Slide 30

Create and record RFC Review RFC

Change is raised by a request from the initiator All RFCs received should be logged and given a unique identi cation number Change Management will ensure all required information has been provided and lter out any requests that are:

Totally impractical Repeats of earlier RFCs Incomplete



Page 226




Changes that are considered to be significant should be subject to the formal Change Evaluation process. There should be well-defined criteria to determine whether this formal change evaluation is needed, and this will normally be documented in the relevant change model. A formal request for evaluation should be submitted when required to trigger the Change Evaluation process. If formal change evaluation is not required, then the change will be evaluated by the appropriate change authority.

Evaluation may include:

• Impact of change on customer business operation

• Associated change proposals

• Impact on other services

• Effect of not implementing the change

• Current change schedule and projected service outage

• Additional on-going resources required to implement the change

• Assessment of risk profile






Slide 31


Signi cant changes should be formally evaluated Evaluation may include:

Impact of change on customer business operation Associated change proposals Impact on other services E ect of not implementing the change Current change schedule and projected service outage Additional ongoing resources required to implement Assessment of risk pro le



Page 227



Authorize change build and testFormal authorization is obtained for each change from a change authority. The levels of authorization for a particular type of change should be judged by the type, size, risk and potential business impact of the change, e.g. changes in a large enterprise that affect several distributed sites may need to be authorized by a higher-level change authority such as a global CAB or the board of directors.

Coordinate change build and testIf this change is part of a release, then the work of packaging the change into a release and building and testing this release is coordinated by the Release and Deployment Management process. For simple changes that are not part of a release, the Change Management process will coordinate this work.Authorized changes should be passed to the relevant technical groups for building the changes. Change Management has an oversight role to ensure that all changes that can be are thoroughly tested.

Authorize change DeploymentThe design, build and testing of the change should be evaluated to ensure that risks have been managed and that predicted and actual performance match the business requirements. For significant changes, an interim evaluation report will be received from the Change Evaluation process; for smaller changes the Change Management process will carry out suitable checks. The result of this evaluation should be passed to the change authority for formal authorization to deploy the change.

Coordinate change deploymentThe work of deploying a release is part of the Release and Deployment Management process. For simple changes that are not part of a release, the Change Management process will coordinate this activity. Change Management has responsibility for ensuring that changes are deployed as scheduled.






Slide 32

Authorize change to

build and test

Coordinate change build

and test

Authorize change

deployment

Coordinate change

deployment

Formal authorization obtained from change authority Authorization level judged by type, size, risk, business impact Oversight role to ensure testing Oversight role to ensure timely deployment



Page 228


Normal Change Management Activities

Review and close change record

A change review, e.g. post-implementation review (PIR), should be carried out to confirm that the change has met its objectives, that the initiator and stakeholders are happy with the results and that there have been no unexpected side-effects. Lessons learned should be fed back into future changes.






33

Review and close change

record

Slide

Evaluation to ensure acceptability PIR (Post Implementation review) Formal closure



Page 229


Change Authority Model

For each change, formal authorization is obtained from a Change Authority that may be a role, person or a group of people. The levels of authorization for a particular type of change should be judged by the type, size or risk of the change (e.g., changes in a large enterprise that affect several distributed sites may need to be authorized by a higher level Change Authority such as a global CAB or by the Board of Directors). If change assessment at levels 2, 3, or 4 detects higher levels of risk, the authorization request is escalated to the appropriate higher level for the assessed level of risk. The use of delegated authority from higher levels to local levels must be accompanied by trust in the judgment, access to the appropriate information and supported by management. The level at which change is authorized should rest where accountability for accepting risk and remediation exist.While the responsibility for change authorization lies with the change manager, he still must gain:

• Financial Approval: What is it going to cost? And what is the cost of not doing it?• Business Approval: What are the consequences to the business? And of not doing it?• Technology Approval: What are the consequences to the infrastructure? And of not doing it?

It is important that the following considerations are taken into account:• The implications of performing the change, as well as the impacts of NOT implementing

the change• The importance of empowering the change manager as its primary role is to protect the

integrity of the IT infrastructureMaterial in this document has been sourced from ITIL ® Lifecycle Suite, 2011 edition. No part of this document may be reproduced in any form without the written permission of both Quint Wellington Redwood and AXELOS Limited. Permission can be requested at www.quintgroup.com and [email protected].




Change Authority Model

34

Level

Level

Level

Level

Level

COMMUNICATIONS CHANGE AUTHORITY LEVEL OF RISK/IMPACT ESCALATION

Business Executive

Board

IT management board or IT

steering group

E(CAB)

Change Manager

Local Authorization

High cost/risk change – requires decision

from executives

Change impacts multiple services or

organizational divisions

Change which only a ects local or service group

Low-risk change

Standard change

Communications, escalation for RFCs,

risks, issues

Communications, decisions and

actions

Slide

Not all changes require the same level of oversight and authority. The higher the cost and risk associated with a given change, the higher in the organization approval authority is expected to lie and the more insight may be needed. Standard changes which are well understood and low risk changes may be approved at the local level, while changes with a wide impact that are high cost carry much more risk and may need to be authorized at the business level.



Page 230


Change Advisory Board (CAB) and Emergency Change Advisory Board (E-CAB)

The Change Advisory Board (CAB) is a body that exists to support the authorization of changes and to assist Change Management in the assessment and prioritization of changes. CAB members should be chosen who are capable of ensuring that all changes within the scope of the CAB are adequately assessed from both a business and a technical viewpoint. The CAB members may differ from change to change. The CAB may be asked to consider and recommend the adoption or rejection of changes appropriate for higher level authorization, at which point recommendations should be submitted to the appropriate Change Authority. To achieve this, the CAB must include people with a clear understanding across the whole range of stakeholder needs. The change manager will typically chair the CAB.

When the need for an emergency change arises (instances in which there may not be time to convene the full CAB), it is necessary to identify a smaller organization with authority to make emergency decisions. This body is the Emergency Change Advisory Board (ECAB).

Many organizations are conducting CABs electronically without frequent face-to-face meetings. There are benefits and problems from such an approach. Much of the assessment and referral activities may be handled electronically via support tools or email. However, in complex, high-risk or high-impact cases, a formal “live” CAB meeting may be necessary.





Change Advisory Board (CAB) and Emergency CAB (ECAB)

35

To support change assessment, authorization, prioritization and scheduling

ECAB for emergency situations

ECAB could be subset of CAB

Slide

Introduce the concept of the CAB and ECAB



Page 231


CAB AttendeesIt is important to emphasize that a CAB:

• Will be composed of different stakeholders depending on the changes being considered• May vary considerably in makeup, even across the range of a single meeting• Should involve suppliers when that would be useful, for example:• The external service provider if a significant part of the service is outsourced• The hardware service provider when considering major firmware upgrades• Should reflect both users’ and customers’ views• Is likely to include the problem manager and service level manager and customer relations staff for at

least part of the time.

The change manager will normally chair the CAB, and potential members include:• Customer(s)• User manager(s)• User group representative(s)• Business relationship managers• Service owners• Applications developers/maintainers• Specialists and/or technical consultants• Services and operations staff, e.g. service desk, test management, IT Service Continuity Management,

Information Security Management , Capacity Management• Facilities/office services staff (where changes may affect moves/accommodation and vice versa)• Contractors’ or third parties’ representatives, e.g. in outsourcing situations• Other parties as applicable to specific circumstances (e.g. police if traffic disruptions are likely, marketing

if public products could be affected).Material in this document has been sourced from ITIL ® Lifecycle Suite, 2011 edition. No part of this document may be reproduced in any form without the written permission of both Quint Wellington Redwood and AXELOS Limited. Permission can be requested at www.quintgroup.com and [email protected].




CAB Attendees

36

CAB will be composed of di erent stakeholder based on changes being considered Membership may vary even across a single meeting Should re ect both users’ and customers’ views Should involve suppliers when appropriate Likely to include the Problem Manager, Service Level Manager and Customer Relations sta

CAB Membership Customers User groups Business Relationship Managers Service Owners Application developers Specialists or technical consultants Services and operations sta Contractors or third party representatives Other parties as applicable

Slide

CAB membership should include all stakeholders of a given change



Page 232


Standard CAB Agenda

A standard CAB agenda should include:• Change proposals that have been received from Service Portfolio Management • RFCs to be assessed by CAB members – in structured and priority order• RFCs that have been assessed by CAB members• Change reviews• Outstanding changes and changes in progress• Evaluation reports and interim evaluation reports received from the Change Evaluation

process• Scheduling of changes and update of change schedule and PSO• Review of unauthorized changes detected through Service Asset and Configuration

Management, to understand underlying issues and take corrective action• Failed changes, unauthorized, backed-out changes, or changes applied without reference

to the CAB from Incident Management, Problem Management or Change Management• Change Management wins/accomplishments for the period under discussion, i.e. a

review of the business benefits accrued by way of the Change Management process• The Change Management process, including any amendments made to it during the

period under discussion, as well as proposed changes• Advance notice of RFCs expected for review at the next CAB.





Standard CAB Agenda

37

Change proposals from Service Portfolio Management

RFCs to be assessed

Change reviews

Outstanding changes and changes in progress

Failed, unauthorized and backed out changes

Change Management accomplishments

Change Management process, including proposed changes to the process

Advance notice of RFCs expected for review at the next CAB

CHANGE AHEAD

Slide



Page 233


Change Management Interfaces

Service Asset and Configuration Management

The configuration management system provides reliable, quick and easy access to accurate configuration information to enable stakeholders and staff to assess the impact of proposed changes and to track change work flow. This information enables the correct CI versions to be released to the appropriate party or into the correct environment. As changes are implemented, the configuration management information is updated. The CMS may also identify related CIs that will be affected by the change, but not included in the original request, or similar CIs that would benefit from similar changes.

Problem Management

Problem Management is another key process, as changes are often required to implement workarounds and to fix known errors. Problem Management is one of the major sources of RFCs and is also often a major contributor to CAB discussion.





Change Management Interfaces

38

Service Asset and Con guration Management

Problem Management IT Service Continuity Management


Capacity and Demand Management


Slide

Change Management

Updates after changes Impact Analysis Remedial Change

Impact on Contingency Plans

Impact on Plans Impact on Policies Updated Service De nitions

As introduced at the beginning of this section, Change Management has interfaces with nearly all other ITIL processes. The processes presented on this slide represent some of the most important interfaces.



Page 234


IT Service Continuity Management

IT Service Continuity Management has many procedures and plans, which should be updated via Change Management to ensure that they are accurate and up to date, and that stakeholders are aware of changes. Every change should be assessed for its impact on IT Service Continuity Management. For a standard change this will be done at the time the change model is authorized; for normal and emergency changes the assessment will be done as part of change assessment.


Information Security Management interfaces with Change Management, since changes required by security will be implemented through the Change Management process and security will be a key contributor to CAB discussion on many services. Every significant change will be assessed for its potential impact on Information Security Management .

Capacity Management and Demand Management

Capacity Management and Demand Management are critical aspects of Change Management. Poorly managed demand is a source of cost and risk for service providers because there is always a level of uncertainty associated with the demand for services. Capacity Management has an important role in assessing proposed changes – not only the individual changes but the total impact of changes on service capacity. Changes arising from Capacity Management, including those set out in the capacity plan, will be initiated as RFCs through the change process.

Service portfolio management

The Service Portfolio Management process prioritizes and charters strategic changes, and submits change proposals for these. Change proposals will be a significant input to long-term planning for the change schedule, and will also be a key input to help Change Management review and authorize related RFCs. Some change requests will require analysis by the Service Portfolio Management process, potentially adding to the service pipeline. Each organization should define criteria for deciding whether these requests are managed as part of the Change Management process or are passed to Service Portfolio Management .






Page 235






Release and Deployment Management


39

ITIL®

Slide



Page 236


Release and Deployment Management – Purpose

The purpose of the Release and Deployment Management process is to plan, schedule and control the build, test and deployment of releases, and to deliver new functionality required by the business while protecting the integrity of existing services.

Release and Deployment management policies should be in place to help the organization achieve the correct balance between cost, service stability and agility.





Release and Deployment Management - Purpose

40 Slide

Plan, schedule and control the build, test and deployment of releases and delivery of new functionality required by the business while protecting the integrity of existing services

Release and Deployment Management policies should be in place to help the organization achieve the correct

balance between cost, service stability and agility

Detail the purpose of Release and Deployment Management



Page 237


Release and Deployment Management – Objectives

The objectives of Release and Deployment Management are to:• Define and agree Release and Deployment Management plans with customers

and stakeholders• Create and test release packages that consist of related configuration items that are

compatible with each other• Ensure that the integrity of a release package and its constituent components

is maintained• Ensure that all release packages are stored in a DML and recorded accurately in the CMS• Deploy release packages from the DML to the live environment following an agreed plan

and schedule• Ensure that releases can be tracked, installed, tested, verified and/or uninstalled or

backed out if appropriate• Ensure that organization and stakeholder change is managed during release and

deployment activities• Ensure that a new or changed service is capable of delivering the agreed utility

and warranty• Record and manage deviations, risks and issues and take necessary corrective action• Ensure that there is knowledge transfer to enable the customers and users to optimize

their use of the service• Ensure that skills and knowledge are transferred to service operation functions





Release and Deployment Management - Objectives

41

Create and test release packages

Ensure integrity of a release package and its constituent components

Ensure all release packages can be tracked, installed, tested, veri ed and backed out if appropriate

Ensure knowledge transfer to enable stakeholders to optimize use of the service

Ensure skill and knowledge transfer to service operation functions to enable e ectively delivery and support

De ne and agree release and deployment policy and plans with customers and stakeholders

Slide

Detail the objectives of Release and Deployment Management



Page 238


Release and Deployment Management – Scope

The scope of Release and Deployment Management includes the processes, systems and functions to package, build, test and deploy a release into live use, establish the service specified in the service design package, and formally hand the service over to the service operation functions. The scope includes all configuration items required to implement a release, for example:

• Physical assets such as a server or network

• Virtual assets such as a virtual server or virtual storage

• Applications and software

• Training for users and IT staff

• Services, including all related contracts and agreements

Although Release and Deployment Management is responsible for ensuring that appropriate testing takes place, the actual testing is carried out as part of the service validation and testing process. Release and Deployment management is not responsible for authoring changes, and requires authorization from Change Management at various stages in the lifecycle of a release.





Release and Deployment Management - Scope

42 Slide

Includes the processes, systems and functions required to package, build, test and deploy a release into the live environment, establish the service speci ed in the SDP and formally hand the service over to Service Operation

Includes all con guration items required to implement a release:

Physical assets such as a server or network

Virtual assets such as a virtual server or storage

Applications and software

Training for users and IT sta

Services, including all related contracts and agreements

Detail the scope of Release and Deployment Management



Page 239


Four Phases of Release and Deployment Management

Release and Deployment planning: Plans for creating and deploying the release are created. This phase starts with Change Management authorization to plan a release and ends with Change Management authorization to create the release.

Release build and test: The release package is built, tested and checked into the DML. This phase starts with Change Management authorization to build the release and ends with Change Management authorization for the baseline release package to be checked into the DML by Service Asset and Configuration Management. This phase only happens once for each release.

Deployment: The release package in the DML is deployed to the live environment. This phase starts with Change Management authorization to deploy the release package to one or more target environments and ends with handover to the service operation functions and early life support. There may be many separate deployment phases for each release, depending on the planned deployment options.

Review and close: Experience and feedback are captured, performance targets and achievements are reviewed and lessons are learned.





Four Phases Of Release and Deployment Management

43

Release and deployment planning Release build and test Deployment Review and close

Change Management

Auth

Post-Implementation

Review

Deployment Review and Close

Release Build and Test

Release and Deployment

Planning

Authorize Release Planning

Authorize Build and Release

Authorize Check-in to

DML

Authorize Deployment /

Transfer / Retirement

= Change Management Authorization

Auth Auth Auth

Deployment

Transfer

Retirement Auth

Slide

Walk the learner through the four phases of Release and Deployment Management. Stress the oversight and authorization role of Change Management as it pertains to Release and Deployment.



Page 240







Purpose Objectives Scope DIKW Structure

44

ITIL®

Slide



Page 241


Knowledge Management - Purpose

To enable organizations to improve the quality of management decision-making by ensuring that reliable and secure information and data is available throughout the Service Lifecycle. It ensures that the right information is delivered to the appropriate place or competent person at the right time to enable informed decision.





Knowledge Management - Purpose

45 Slide

Share perspectives, ideas, experience and information to ensure that these are available in the right place at the right time to enable informed decisions and to improve e ciency by reducing the need to rediscover knowledge

KNOWLEDGE

Detail the purpose of Knowledge Management



Page 242


Knowledge Management - Objectives

The objectives of Knowledge Management are to:

• Improve the quality of management decision-making by ensuring that reliable and secure knowledge, information and data is available throughout the service lifecycle

• Enable the service provider to be more efficient and improve quality of service, increase satisfaction and reduce the cost of service by reducing the need to rediscover knowledge

• Ensure that staff have a clear and common understanding of the value that their services provide to customers and the ways in which benefits are realized from the use of those services

• Maintain a service knowledge management system (SKMS) that provides controlled access to knowledge, information and data that is appropriate for each audience

• Gather, analyze, store, share, use and maintain knowledge, information and data throughout the service provider organization.





Knowledge Management - Objectives

46

Ensure sta have a clear and common understanding of the value their services provide to customers

Maintain an SKMS that provides controlled access to knowledge, information and data

Gather, analyze, store, share, use and maintain knowledge, information and data

Improve quality of management decision making by ensuring availability of reliable and secure knowledge, information and data

Increase satisfaction and reduce need to rediscover knowledge

Slide

Knowledge Management ensure the right information is available to the right people, at the right time to underpin informed decision making.



Page 243


Knowledge Management – Scope

Knowledge management is a whole lifecycle-wide process in that it is relevant to all lifecycle stages and underpins many ITIL processes. Knowledge management includes oversight of the management of knowledge, the information and data from which that knowledge is drawn. It is especially relevant to Service Transition as appropriate knowledge is one of the key service elements being transitioned.





Knowledge Management - Scope

47 Slide

Full lifecycle process that is relevant to all lifecycle stages and underpins many ITIL® processes

Includes oversight of the management of knowledge and the information and data from which that knowledge is drawn

Especially relevant to Service Transition as appropriate knowledge is one of the key service elements being transitioned

Knowledge Management spans the entire service lifecycle



Page 244


Knowledge Management – DIKW

The DIKW model is the foundation for Knowledge Management.

• Data: Data is a set of discrete facts about events (raw measurements). Organizations often capture this in large amounts and put this data in structured databases

• Information: Information is generated when context is added to data and can be stored in semi-structured content, such as documents, e-mail, and multimedia. Simple questions like “Who?, What?, When?, Where?” can be answered when information is available

• Knowledge: Knowledge is composed of the tacit experiences, ideas, insights, values and judgments of individuals. People can gain knowledge from their own expertise, but also from others’ expertise or by analyzing data/information. By synthesizing these elements, new knowledge is created. Knowledge helps in answering the “How?” questions

• Wisdom: Wisdom can be seen as the ultimate understanding of the material and allows decisions based on common sense and insight. Using wisdom, the “Why?” questions can be answered. Wisdom cannot be stored or managed by a tool.





Data, Information, Knowledge and Wisdom Structure (DIKW)

48

WISDOM

INFORMATION

CONTEXT

UNDERSTANDING

DATA

Who, what, when, where?

How?

Why?

KNOWLEDGE

Slide

Knowledge is what allows us to make informed decisions:• Data is decrete facts. It may be collected from event

monitoring and discovery tools. Raw data is not meaningful without context (e.g. 10 routers have reported their firmware versions)

• Information combines data with other references and provides context (e.g. 8 out of 10 routers have an end of life firmware version installed)

• Knowledge is structured and retrievable information that provides guidence on follow up actions (e.g. the manufacturer suggests that we upgrade the firmware on all routers to the latest version)

• Wisdom concerns using knowledge to make informed decisions. Decision making is a human activity. (e.g. we are not going to upgrade to the latest version because this incurs cost and risk, and we will be phasing these servers out within the next quarter)



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Relationship between CMDB, CMS and SKMS

The quality and relevance of the knowledge rests upon the accessibility, quality and continued relevance of the underpinning data and information as available to service staff in the Configuration Management System (CMS) and Configuration Management Database (CMDB), along with other repositories. Service Knowledge Management System (SKMS) covers broader aspects of Knowledge Management and creates knowledge from the considerable quantity of data thus available. Implementing an SKMS enables effective decision support and service delivery and reduces the risks that arise from a lack of proper mechanisms.





Relationship between CMDB, CMS and SKMS

49

SERVICE KNOWLEDGE MANAGEMENT SYSTEM

CONFIGURATION MANAGEMENT SYSTEM

CONFIGURATION MANAGEMENT

DATABASES

Support for decisions

Support for delivery of services

Slide

Reiterate the structure and relationship between CMDB, CMS and the SKMS.Lead users to understand that data and information is stored within the CMDB. The CMS contains information. The SKMS provides Knowledge. This structure is used by people to support decisions (Wisdom level).



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Challenge


50

ITIL®

Slide



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The objective of __________ is to share perspectives, ideas, experience and information to ensure these are available at the right place and time to enable informed decisions Answer A. Service Transition B. Release and Deployment Management C. Change Management D. Knowledge Management

51 Slide

1. The correct answer is D: Knowledge Management.This is a true statement of the objective of Knowledge Managment.



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A ____________ is a pre-authorized change that is low risk, relatively common and follows a procedure or work instruction Answer A. Unique Change B. Standard Change C. Change Model D. Emergency CAB

52 Slide

2. The correct answer is B: Standard Change.A portion of the definition of Normal changes includes that these changes are unique and each must be assessed individually to determine risk.A change model is a pre-approved methodology for handling a specific type of changes. Change models are often used for Standard Changes.The ECAB is a group that authorizes Emergency Changes.



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Which lifecycle stage ensures that new, modi ed or retired services meet the expectations of the business as documented in the service strategy and service design stages of the lifecycle? Answer A. Service Transition B. Service Operation C. Service Level Management D. Change Management

53 Slide

3. The correct answer is A: Service Transition.The question deals with lifecycle stages. Since SLM and Change Management are processes and not lifecycle phases, these two answers may be easily dismissed.The purpose of Service Operation is to provide services in the live environment, so this is also an incorrect response.



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Which Service Transition process provides overall planning for service transitions and coordinates the resources they require? Answer A. Change Management B. Transition Planning and Support C. Technical Management D. Release and Deployment Management

54 Slide

4. The correct answer is B: Transition Planning and Support.Transition Planning and Support is concerned with coordinating the resources required across the Service Transition lifecycle phase.Change Management is concerned with managing changes across their lifecycle.Technical Management is not a process; it is a function and therefore can be easily dismissed as incorrect.Release and Deployment Management is concerned with managing releases across their lifecycle.



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Which body is charged with considering and recommending the adoption or rejection of emergency changes? Answer A. Release and Deployment Management B. Change Advisory Board C. Emergency Change Advisory Board D. Transition Planning and Support

55 Slide

5. The correct answer is C: ECAB.Answers A and D are processes and not ‘bodies’, so may be easily dismissed as incorrect.The Change Advisory Board considers and recommends the adoption or rejection of non-emergency changes.



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Which level in the Knowledge Management concept of DIKW CANNOT be automated? Answer A. Data B. Information C. Wisdom D. Knowledge

56 Slide

6. The correct answer is C: Wisdom.Data, Information and Knowledge can all be stored in data bases and maintained in an automated manner.Wisdom is a human activity in which Data, Information and Knowledge are used to support informed decision making.



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Which of the following are processes within Service Transition? 1. Change Management 2. Knowledge Management and Release and

Deployment Management 3. Transition Planning and Support, Incident

Management and Service Asset and Con guration Management


57 Slide

7. The correct answer is C: 1 and 2 only.Change Management is part of Service Transition.Knowledge Management and Release and Deployment Management are part of Service Transition.Transition Planning and Support and SACM are both part of Service Transition, however, Incident Management is part of Service Operation instead. Therefore, answer number 3 is incorrect.



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What is the correct order for the activities in the process ow for a normal change Answer A. Create and record RFC, Review RFC, Assess and

evaluate change, Authorize change build and test, Coordinate change build and test, Authorize change deployment, Coordinate change deployment, Review and close change record

B. Create and record RFC, Assess and evaluate change, Authorize change build and test, Coordinate change build and test, Review RFC, Review and close change record

C. Create and record RFC, Review RFC, Authorize change build and test, Authorize change deployment, Assess and evaluate change, Review and close change record

D. None of the above

58 Slide

8. The correct answer is A: This answer correctly lists the order of activities within the normal change flow.Answers B and C list the activities in an incorrect order.Answer D is incorrect.



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Change Proposals are normally initiated through which process: Answer A. The business case B. Problem Management C. Service Level Management D. Service Portfolio Management

59 Slide

9. The correct answer is D: Service Portfolio Management.Changes may be initiated by an RFC or, for large efforts, may begin as a change proposal. Change proposals are usually initiated via the Service Portfolio Management process.



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What is the major input in the Service Transition lifecycle stage?

Answer A. New or changed services ready to move

into production B. Vision, Mission and Goals C. Knowledge Management D. The Service Design Package

60 Slide

10. The correct answer is D: the SDP.The SDP is the major output of the Service Design lifecycle phase and become the major input that allows Service Transition to build, test, deploy and perform early life support for new or changed services.



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Which of the following is NOT an objective of Release and Deployment Management? Answer A. Ensure skills and knowledge are transferred to

service operation functions to enable e ectively delivery , support and maintenance of warranties and service levels

B. Create and test release packages C. Determine the root cause of one or

more incidents D. Ensure integrity of a release package and its

constituent components

61 Slide

11. The correct answer is C: Determine the root cause of one or more incidents.This is another example of a question that is worded in the negative. For this question we are looking for the answer that is NOT and objective.Determining the root cause of one or more incidents is the objective of Problem Management.



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Service Transition


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ITIL®

Slide



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5 Service Operation



Service Operation

Module 5

Slide 1

ITIL®

Reflect on what has happened in the previous lifecycle phases as an introduction to Service OperationRestaurant analogy:

• In Service Strategy we decided to open a mid-range informal Italian restaureant and develop a funded stratgy based on servce offerings expected to satisfy our customers. We decided to offer pasta because the competition in that market space for pizza is too high. We decided to make excellent pizza and implemented a Service Portfolio of our offerings

• In Servce Design we started to detail each menu item (each service) so that we had a complete ‘blue print “ (Service Desig nPackage) for each item that would be offered on the menu. The SDP included requirements for people, process, products and partners

• In Service Transition we started to execute the plan embedded in the SDP to procure the restaurant property, decorate the restarunt, buy equipment, implement effective kitchen processes, and recruit and train our staff. We tested each item for quality, and performed dry runs of our service to ensure they performed as intended

• We are now at Service Opration – it is opening day for the restaurant. What has to happen now?



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5 Service Operation




Demand Management




Management


Supplier Management


Design Coordination


Capacity Management



Support

Change Management



Event Management

Incident Management

Request Ful lment

Access Management


Problem Management




Testing

Change Evaluation


IT Services

Service Desk





Slide 2




Service Operation is the lifecycle stage where are customers see value.Service Operation has been compared to the ‘factory’ of IT where services are actually produced in the live environment.There are five processes within Service Operation:

• Event Management• Incident Management• Request Fulfillment• Access Management• Problem Management

In addition, the four ITIL Functions also ‘live’ within the Service Operation lifecycle (although all functions have a role to play in each of the other lifecycle phases as well):

• Service Desk• IT Operations Management• Application Management• Techncial Management



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Service Operation – Main purpose

Slide 3

How can a Service Provider maintain customer satisfaction?

Coordinate and carry out the activities and processes required to deliver and manage services at agreed levels to business users and customers

How can a Service Provider ensure stability of service provision?

How can a Service Provider minimize the impact of service outages?

Day to day operation Detail the purpose of Service Operation: the day to day operation of services



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5 Service Operation



Service Operation - Objectives

Slide 4

Maintain business satisfaction and con dence in IT

Ensure e ective and e cient delivery and support of agreed IT services

Minimize impact of service outages on day-to-day business activities

Ensure that access to agreed IT services is provided to those authorized to receive those services

Detail the objectives of Service Operation



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5 Service Operation



Service Operation – Scope

Slide 5

Describes the processes, functions, organization and tools required to deliver and support services

Includes guidance on:

Services

Processes

Technology

People



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Service Operation – Value to Business

Slide 6

Reduce unplanned labor and costs for both the business and IT Reduce the duration and frequency of service outages Provide operational results and data used to de ne improvement opportunities and provide justi cation for investment in ongoing improvement activities Meet the goals and objects of the organization's security policy Provide quick and e ective access to standard services Provide a basis for automated operations

Describe the value to the business facilitated by Service Operation



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Service Operation Terminology

Slide 7

Detectable occurrence in the IT Infrastructure?

A threshold has been exceeded

Deals with restoring that which is not working correctly

Deals with getting something

done for the user

End user wants IT to do something for them IT Sta detect failure

Break x is needed YES

No

Break x needed? EVENT

ALERT INCIDENT SERVICE REQUEST

Introduce the learner to Service Operation terminology:• An event is any detectable occurance within

the infrastructure• An alert is a particular type of event that signals that a

threshold has been exceeded• An incident is an occurrence that causes or may cause a

disruption or reduction in services provided• A service request is a request for a standard IT service

Events and alerts may or may not result in the entry of an incident. Service requests are normally initiated by a user.



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Service Operation Terminology

Slide 8

Incidents

Re-occurring incidents

The underlying root cause of one or more incidents

A problem with a root cause and a workaround

A database containing all known error records

A temporary method for reducing or eliminating

the impact of an incident or problem

Problem Known Error = Root Cause + Workaround

Work Around Known Error

Database

Incident Management

Problem Management

Incident and Problem management have separate aims: Incident Management seeks to return the service to agreed functionalty as quicky as possible and minimize the impact on the business. Problem Management seeks to find the root cause of one or more incidents and enable a permanent fix.During the course of Problem Management, known errors may be documented. A known error is a problem where the root cause and a work around are known. A work around is a temporary method for reducing or eliminating the impact of an incident or problem.Known errors are stored within the KEDB.



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5 Service Operation



Typical types of communication: Routine operational communication Communication between shifts Performance reporting Communication in projects Communication related to changes exceptions or emergencies Training on new or customized processes Communication of strategy, design and transition to service operations teams

E ective communication considers: Intended purpose Clear audience Audience actively involved in determining need, use and format Ongoing communication review

Communication in Service Operation

Slide 9

As part of the overall business, Service Operation is responsible for delivering services e ciently and as agreed and for maintaining customer satisfaction E ective communication is a vital component that enables these objectives

Communication is a vital aspect of Service Operation.



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Event Management


Slide 10

ITIL®



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Event Management - Purpose

Slide 11

Manage events throughout their lifecycle

1. Detect Events 2. Make Sense of Events

3. Determine appropriate control action

Event Management is the most highly automated of any of the ITIL processes. Each event has a lifecyle that begins with detetion1. Detect Events

• Detection is usually done by monitoring tools. In an IT infrastructure, 1000s of event are generated each day. Not all are equally important

2. Make sense of the events• Some events are informational (e.g. log file produced),

others signify somethng that should be monitored (e.g. memory usage appraoching 75%), still others require action (e.g. security intrusion detected)

3. Determine approprite control action• Information events are usually logged only• For unusual but not esceptional events, human or

machine monitoring may be initiated• Exceptional events usaullly open an incident ticket so

that appropriate resolution can be undertaken



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Event Management - Objectives

Slide 12

Determine appropriate control actions

Provide the entry point for other processes and activities

Provide means to compare actual performance against design standards and SLAs

Provide basis for service assurance, reporting and improvement

Detect signi cant changes of state

Detail the objectives of Event Management.



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Event Management - Scope

Slide 13

Event Management can be applied to any aspect of service management that needs to be controlled and can be automated:

Con guration Items (CI)

Environmental conditions

Software license monitoring

Security (e.g. intrusion detection)

Normal activity

Measurement systems, methods and metrics for the services, architectures, components and processes

Detail the scope of Event Management



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Incident Management


Slide 14

ITIL®



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5 Service Operation



Incident Management - Purpose

Slide 15

The purpose of Incident Management is to restore normal service operation as quickly as possible to minimize the adverse impact on business operations “Normal service operation” is de ned as a state where services and CIs are performing within their agreed service and operational levels thin their agreed service and operational levels

Detail the purpose of Incident Management



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Incident Management - Objectives

Slide 16

Enhance business perception of IT by quickly resolving and communicating incidents when they occur

Align incident management activities and priorities with those of the business

Maintain user satisfaction

Ensure standardized methods are used for e cient and prompt management of incidents

Increase visibility and communication of incidents

Detail the objectives of Incident Managment



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Incident Management - Scope

Slide 17

Triggers for Incident Management:

Any event that disrupts or could disrupt a service

Communicated by a user

Reported by technical sta

Incident Management manages the entire lifecycle of incidents.Incidents may enter the process by way of the Event Management process, as reported by users, or as reported by other technical staff.



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Incident Management – Basic Concepts

Slide 18

Overall incident response and resolution targets captured within SLA, OLA or contracts

Use a separate procedure with shorter timescales and greater urgency for major incidents

Incidents should be tracked throughout their lifecycle to support proper handling and reporting

Timescales Major Incidents Status Tracking

Incident handling timescales are often captured within SLAs and OLAs.Major Incidents are incidents that have the potential of causing large disruption to the business. The business is responsible for determining what criteria constitute a major incident. Because of the critical nature of this classification of incidents, a separate procedure should be developed for their management.Incidents should be tracked throughout their lifecycle.



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Many incidents involve dealing with something that has happened before and may happen again Many organizations develop prede ned ‘standard’ incident models Automate where possible using incident support tools Store models in the SKMS Incident models include:

Steps to be taken Chronological order of steps Roles and responsibilities Timescales and thresholds Escalation procedures Evidence-preservation activities

Incident Models

Slide 19

Note the similarities between Incident models and Change Models which we previously discussed. Incident models are pre-approved methods for dealing with a specific type of Incident.Challenge the learner: In which lifecycle phase should incident models be created?

• In Service Desgn. As part of designing the servce, it is important the also design the operational processes that will be needed to deliver the service



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Incident Management Process Flow

Slide 20

Event management Web interface Phone call Email

Incident identi cation

Is this really an incident?

Incident logging

Incident categorization

Incident prioritization

Major incident?

Initial diagnosis

Escalation

Investigation and diagnosis

Resolution identi ed?

Resolution and recovery

Incident closure

End

Functional escalation?

Major incident procedure

Hierarchic escalation?

Management escalation

Functional escalation

No

No

No

Yes

Yes

Yes Yes

Yes No

No

To request ful llment (if this is a service

request) or service portfolio management

(if this is a change proposal)

Yes

Incident Management is another process where the learner is expected to understand the process activities and flow.Each activity will be discussed in detail in the next several pages



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Incident Management Activities

Slide 21

Key components should be monitored to detect failures as early as possible

Reviewing Agreeing


Categorization

All incidents logged and date /time stamped, regardless of origin

Multi-level categorization supported by most incident management tools

Logging Identi cation

Incidents must be identified before they can be logged.All incidents should be logged and data/time stamped.Incidents must be categorized to ensure correct handling and to enable meaningful metrics collection.



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Prioritization


Slide 22

Priority is a category used to identify the relative importance of an Incident, a Problem, or a Change. Priority is based on Impact and Urgency and is used to identify the required time for actions to be taken. Impact is a measure of the e ect of an Incident, a Problem, or a Change on business processes. Urgency is a measure of how long it will be until an Incident, a Problem, or a Change has a signi cant impact on the business.

Agreeing

Urgency

Priority = Impact and Urgency

Impact

High Medium Low

High

Medium

Low

1 2 3

2 3 4

3 4 5

Priority = impact + urgency.Impact deals with the effect on the business.Urgency deals with the timeframe in which the incident must be resolved.All incidents should be prioritized to ensure they are handled in an order as dictated by the business.



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Investigation and Diagnosis Escalation Initial Diagnosis


Slide 23

Carry out initial diagnosis to discover full symptoms, determine what has gone wrong, and how to correct it

Reviewing Agreeing

Reporting

Escalation Functional escalation: deeper technical knowledge Hierarchic escalation: managerial noti cation

Deeper level of investigation

What consitiutes a ‘major incident’ must be agreed by the business.Use a separate procedure with shorter tiescales and greater urgency for Major Incidents.



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Resolution and Recovery


Slide 24

Undertake actions to recover and resolve incident

Reviewing Agreeing


Con rm nal closure categorization Conduct user satisfaction survey Complete incident documentation Determine (with problem management) if a problem should be raised Formal incident closure

Incident Closure



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Service Level Management Information Security Management Capacity Management Availability Management Service Asset and Con guration Management Change Management Problem Management Access Management

Incident Management Interfaces

Slide 25

Detail the major interfaces with Incident Management



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5 Service Operation



Request Ful llment


Slide 26

ITIL®



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5 Service Operation



Request Ful llment - Purpose

Slide 27

Process responsible for managing the lifecycle of all service requests from users

Request for information or advice

A service request is a formal request from a user for something to be provided

Request for password reset

Request to install a workstation for a new user

Detail the purpose of Request Fulfillment



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5 Service Operation



Request Ful llment - Objectives

Slide 28

Provide channel for users to request and receive standard services

Provide information about availability of services

Source and deliver components of standard services

Assist with general information, complaints or comments

Maintain customer satisfaction by e cient and professional handling of service requests

Detail the objectives of Request Fulfillment



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5 Service Operation



Request Ful llment - Scope

Slide 29

The process needed to ful ll a request will vary based on what is being requested

Request Ful llment may be handled through the Incident Management process

Each organization must decide and document which service requests will be handled through the Request Ful llment process and which will go through other processes such as Business Relationship Management



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Access Management


Slide 30

ITIL®

Explain the link between Security and Access Management.Ask the learners if they could get access to a drive containing financial data just by posting a Service Request?The person granting the access service request would have to check a policy to see if the user was entitled to that level of access.The access policy is created by IT Security during Service Design and executed by Access Management.



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Access Management - Purpose

Slide 31

Access Management provides the right for users to be able to use a service or a group of services

Activities are guided by policies and controls de ned in the information security policy

Responsible for monitoring the use of services

Maintains history of who has accessed or tried to access services

Carries out procedures for communicating security events

Responsible for removing access when it is no longer required

Detail the purpose of Access Management



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Access Management - Objectives

Slide 32

Respond to requests for granting, changing, and removing access rights

Oversee access to services and ensure rights being provided are not improperly used

Manage access to services based on policies and actions de ned in Information Security Management

Detail the objectives of Access Management



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Access Management - Scope

Slide 33

Executes policies set forth in information security management

Enables the organization to manage the con dentiality, availability and integrity of data and intellectual property

Ensures users are given the right to use a service, but does not ensure that this access is available at agreed times

Usually initiated through a single point of coordination - the service desk or IT operations

May be initiated by a service request

Access Management executes policies established by security management.Although Access management is responsible for granting access to a service, it is not responsible for ensuring the service is available as required



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5 Service Operation


Copyright © Quint Wellington Redwood and AXELOS Limited 2011. All rights reserved. Slide 34

Change Incident Service Request

A user wants to know how to configure a piece of software

Customer wants an ad-hoc report

A user’s WiFi connection does not work

User wants to know how to change a pivot table in Excel

A computer is hacked, no one knows who did it

A Password of a server needs to be reset

A user wants a new PC to be installed

An IP address on a server needs to be reassigned

A customer wants to be put through to the networking department

Monitoring created a message that hard disk failure will occur within 72 hours

A tablet delivered turns out to be broken and is replaced by one from stock

A user requests administrator rights for their laptop

Challenge the user: Allow the class to provide rationale for whether each item listed is a Change, an Incident or a Service Request:1. Service Request: request for information2. Service Request: request for standard service3. Incident: something is not working as intended4. Service Request: request for information5. Incident: specifically a security incident6. Change: however, this is a low risk, repeatable change

and a good candidate for a standard change that is managed by Service Request

7. Service Request: request for standard service8. Change: needs to be assessed for impact9. Service Request: more of an ad hoc activity

10. Incident: action needs to be taken to avoid a failure11. Incident or Request: policy will determine if the tablet will

be fixed or replaced



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Problem Management


Slide 35

ITIL®



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5 Service Operation



Problem Management - Purpose

Slide 36

Problem Management seeks to minimize the adverse impact of incidents and problems on the business by identifying the underlying root cause and initiating actions to implement a permanent x

A problem is the underlying cause of one or more incidents

Fire Fighting • INCIDENT Management

Fire Prevention • PROBLEM Management

Detail the purpose of problem management: to determine the root cause of one or more incidents and to enact a permanent fix.



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Problem Management - Objectives

Slide 37

Eliminate recurring incidents

Minimize the impact of incidents that cannot be prevented

Prevent problems and resulting incidents from happening

Detail the objectives of Problem Management



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Problem Management - Scope

Slide 38

Activities to diagnose the root cause of incidents and determine resolution

Ensuring that resolution is implemented with appropriate control procedures

Maintain information about problems, workarounds and resolutions

Problem Management manages the entire lifecycle of a problem



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Problem Management is Both Reactive and Proactive

Slide 39

The di erence between reactive and proactive Problem Management lies in how the problem was triggered

Reactive Problem Management is concerned with solving problems in response to one or more incidents Conducted within scope of service operation

Proactive Problem Management is concerned with identifying and solving problems and known errors before further incidents can occur Conducted as part of continual service improvement

Problem Management has two aspects: • Reactive (responding to handling problems encountered

within Service Operation)• Proactive (concerned with identifying and resolving

problems before further incidents occur). Proactive problem management is often conducted as part of CSI



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Problem Management – Basic Concepts and Policies

Slide 40

Problems should be tracked separately from incidents

All problems should be stored in a single management system

All problems should use a standard classi cation schema

Problems should be tracked separately from Incidents so metrics may be correctly collected.Problems may, however, be tracked in the same system that tracks Incidents.Problems should use a standard classification scheme, which may be the same scheme used for incidents.



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Many problems are unique – but some incidents may reoccur dormant underlying problems

Using problem models ensures quicker diagnosis Store problem models in the SKMS Problem models include:

Steps to be taken Chronological order of steps Roles and responsibilities Timescales and thresholds Escalation procedures Evidence-preservation activities

Problem Models

Slide 41

Just like Incident models, Problem models may be useful for responding to specific types of problems.



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Problem Management Activity Flow

Slide 42

Service desk

No

Event mgmt. Incident mgmt. Proactive problem mgmt.

Supplier or contractor

Problem detection

Problem logging

Problem categorization

Problem prioritization

Problem investigation and diagnosis

Workaround needed?

Change needed?

Known error record (if required)

Problem resolution

Resolved?

Problem closure

Major problem?

End

Major problem review

Service knowledge mgmt. system


RFC Change

management

Incident management

Implement workaround

CMS

Known error

database

Yes

Yes

No

Yes

No

No

No

Yes

Problem Management is the final process where the learner is expected to understand the flow of activities.Note the similuarities and differences between the Problem Management activity flow and that of Incident Management.



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Detection

Problem Management Activities

Slide 43

Problem detection may be reactive or proactive

Negotiating

All relevant details of the problem must be recorded

Problems should be categorized and prioritized in the same way and use the same coding system as Incidents

Priority is based on Impact and Urgency

Logging Categorization Prioritization



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Problem Management Activities

Slide 44

Attempt to diagnose root cause Speed and nature of investigation depends on impact, severity and urgency of the problem

Known error records should be raised as soon as it becomes useful to do so

Use controlling processes like Change Management and Release and Deployment management to implement resolution

Ensure all documentation is complete and close problem

Investigation and Diagnosis

Workarounds and known errors

Problem resolution Problem closure



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Conduct a review after each major problem to determine:

Major Problem Review

Slide 45

What was done correctly

What was done wrong

What could be done better in the future

How to prevent recurrence

Whether follow-up actions are needed

The definition of what constitutes a ‘Major Problem’ must be developed by the business.



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Financial Management for IT Services Capacity Management Availability Management IT Service Continuity Management Service Level Management Change Management Service Asset and Con guration Management Release and Deployment Management

Problem Management Interfaces

Slide 46

Detail the major interfaces between Problem Management and other processes.



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Functions

Service Desk Technical Management Application Management IT Operations Management

Slide 47

ITIL®

Functions in ITIL are a team or group of people and the tools or other resources they use to carry out one or more processes or activities.



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Functions

Slide 48

A team or group of people and the tools or other resources they use to carry out one or more processes or activities

Service Desk Technical Management



Mainframe

Server

Network

Storage

Database

Directory Service

Desktop

Middleware

Internet/ Web

IT Operations Controls

Console Management Job Scheduling

Backup & Restore Print & Output

Facilities Management

Data Centers Recovery Sites Consolidation

Contracts

Financial Applications

HR Applications

Business Applications

Briefly describe the four ITIL functions. Each will be detailed in the following pages.Although the bulk of the work for each of these functions is carried out within the Service Operation phase, they each have a part to play in all other service lifecycle phases.



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Service Desk - Roles and Objectives

Slide 49

Logs incidents and service requests Provides rst-line investigation and diagnosis Resolves incidents whenever possible Escalates incidents that cannot be resolved within agreed timeframe Closes all resolved incidents Conducts user satisfaction surveys Communication with user Updates CMS under the direction of SACM

Single point of contact between the customer and IT

Detail the major roles and objectives of the Service Desk.



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Service Desk Organizational Structures

Slide 50

Often ine cient and expensive to operate May be valid reasons for maintaining Language or culture Di erent time zones Specialized groups of users Critical status of users

Local Service Desk Service desk co-located within or physically close to the user community

We will discuss several structures that may be used for the Service Desk.



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5 Service Operation




Slide 51

More e cient and cost-e ective Fewer sta deal with higher volume of calls Leads to higher skill levels May be necessary to maintain local presence to handle physical support

Centralized Service Desk Service desk sta merged into a single location



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5 Service Operation




Slide 52

Sta located in any number of physical locations Option for working from home Safeguards needed to ensure consistency and uniformity of service quality

Virtual Service Desk Technology gives impression of single, centralized service desk

Service Desk

Paris Service Desk

San Francisco Service Desk

Beijing Service Desk

London Service Desk

Service Knowledge

Management System

Rio de Janeiro Service Desk

Sydney Service Desk



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5 Service Operation




Slide 53

No desk works more than a single shift Requires common processes, tools, shared databases Well controlled escalation and handover processes are essential

Follow the Sun Two or more geographically dispersed services desks provide 24-hour service



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5 Service Operation




Slide 54

Allows faster resolution of incidents through greater familiarity and specialist training Should be considered for a small number of key services where call rates justify need for specialist group

Specialized Service Desk Groups Incidents related to a particular IT service routed directly to specialist groups



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5 Service Operation



Technical Management Function – Role and Objectives

Slide 55

Plan, implement, and maintain a stable technical infrastructure to support the organization’s business processes by:

Well designed, highly resilient and cost-e ective technical topology Use of adequate technical skills to maintain the technical infrastructure in optimum condition Use of technical skills to diagnose and resolve technical failures that occur

Custodian of technical knowledge and expertise related to managing the IT infrastructure

The Technical Management function is the custodian of technical knowledge and expertise.



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5 Service Operation



Application Management Function – Role and Objectives

Slide 56

Support the organization’s business processes by identifying functional and manageability requirements for application software, assist in the design and deployment of applications and provide ongoing support for those applications:

Applications that are well designed, resilient and cost-e ective Ensuring that required functionality is available to achieve business outcomes Provide adequate skills to maintain operational applications in optimal condition and respond to application incidents and problems

Custodian of technical knowledge and expertise related to managing applications

The Application Management Function is the custodian of technical knowledge and expertise related to applications.



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5 Service Operation



Application Development compared to Application Management Function

Slide 57

AApppplliiccaattiioonn DDeevveellooppmmeenntt AApppplliiccaattiioonn MMaannaaggeemmeenntt FFuunnccttiioonn

One-time set of activities to design and construct application solutions

Ongoing set of activities to manage applications throughout their lifecycle

Performed mostly for applications developed in house

Performed for all applications whether developed in house or purchased

Utility focus Both utility and warranty focus

Most work done in projects Most work done as part of repeatable, ongoing processes

Sta typically rewarded for creativity Sta typically rewarded for consistency

Development costs easy to quantify Ongoing maintenance costs often mixed with other costs

Sta focused on software development lifecycles Sta typically focused on only one or two stages: operation and improvement

Application Management is not the same thing as Application Development.Compare and contrast application developmet and the application management function.



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5 Service Operation



IT Operations Management Function – Role and Objectives

Slide 58

Maintain stability of the organization’s day to day processes and activities Identify improvements to achieve reduced costs while maintaining quality Apply operational skills to diagnose and resolve any IT operation failures

Execute the ongoing activities and procedures required to deliver and support IT services at the agreed levels

IT Operations Control

Console Management Job Scheduling

Backup and Restore Print and Output

Facilities Management

Data Centers Recovery Sites Consolidations

Contracts

IT Operations Management is the fourth ITIL function.IT Operations Management has two sub-functions:

• IT Operations Control • Facilities Management



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5 Service Operation



Challenge


Slide 59

ITIL®



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5 Service Operation



The objective of __________ is to detect events, analyze them and determine management action Answer A. Service Operation B. Incident Management C. Event Management D. Service Catalog

Slide 60

1. The correct answer is C: Event Management.The question defines the three main objectives of Event Management.



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5 Service Operation



A ____________ is an unplanned interruption to an IT service, while a (an) ___________ is a random occurrence that is important to management Answer A. Technical fault, management fault B. Incident, event C. Quantitative issue, qualitative issue D. Event, incident

Slide 61

2. The correct answer is B: Incident Management, event.The question correctly defines Incident as an unplanned interruption to an IT service and Event as a random occurrence that is important to management.



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5 Service Operation



A known error includes which two components? Answer A. An identi ed root cause and a workaround B. A problem and a resolution C. A workaround and an incident record D. An incident and a problem

Slide 62

3. The correct answer is A: An identified root cause and a workaround.The question identifies the two parts of a known error.



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5 Service Operation



In which lifecycle stage does the customer see value being created? Answer A. Service Transition B. Service Operation C. Technical Management D. Service Strategy

Slide 63

4. The correct answer is B: Service Operation.Note that answer C: technical management is a function and not a lifecycle stage, so it may easily be disregarded.Value is seen by the customer in the Service Operation lifecycle phase.



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5 Service Operation



Which of the following is NOT a service desk organizational structure? Answer A. Multi-level B. Follow the sun C. Local D. Virtual

Slide 64

5. The correct answer is A: Multi-level.This is an example of a negatively worded question. The learner is asked to choose the answer that is NOT appropriate as a service desk organizational structure.Multi-level is one of the types of SLA structures we have discussed rather than a service desk structure.



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5 Service Operation



Which Service Operation process’ purpose is to provide the right for users to use a service or group of services? Answer A. Event Management B. Service Level Management C. Access Management D. Incident Management

Slide 65

6. The correct answer is C: Access Management.The question correctly describes the purpose of Access Management.



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5 Service Operation



Which of the following provide value to the business from Service Operation? 1. Enabling the service provider to have a clear

understanding of what levels of service will make their customer's successful

2. Controlling the introduction of new or changed services into the operating environment

3. Reduction in the duration and frequency of service outages

Answer A. All of the above B. 1 and 3 C. 3 only D. 2 only

Slide 66

7. The correct answer is C: 3 only.Answer 1 expresses strategic work normally accomplished during the Service Strategy phase.Answer 2 expresses the work done during the Service Transition phases.Only answer 3 expresses value that is provided from the Service Operation phase.



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5 Service Operation



What are the sub functions within IT Operations Management? 1. Network Operations Center 2. Facilities Management 3. IT Operations Control 4. Backup and Recovery

Answer A. 2 and 3 B. 1 only C. 1 and 4 D. None of the above

Slide 67

8. The correct answer is A: 2 and 3.The IT Operations Management sub-functions are Facilities Management and IT Operations Control.Network Operation Center (NOC) may be a form of IT Operations Control but is not the ITIL definition.Backup and Recovery is a task undertaken by IT Operations Control, rather than a sub-function.



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5 Service Operation



An incident occurs when: Answer A. A portion of a network has failed, however it is not

noticeable to users because of built in redundancy B. An employee calls the service desk to report the

system for entering time is very slow C. A customer representative can’t access a needed

application D. All of these are correct

Slide 68

9. The correct answer is D: all of the above.All of the answers correctly identify incidents. All do, or have the potential to reduce the quality of a service.



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5 Service Operation



Initial diagnosis, escalation and investigation and diagnosis are activities in which process? Answer A. Event Management B. Problem Management C. Access Management D. Incident Management

Slide 69

10. The correct answer is D: Incident Management.The question correctly provides a subset of the activities within the Incident Management process.The Problem Management process also includes activities of diagnosis and investigation, but does not include escalation.



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5 Service Operation



A team of DBAs is troubleshooting an outage on the main nance database. The outage was reported by a branch o ce that was unable to access the data. The investigation of the underlying cause of the outage is known by what term? Answer A. Incident Management B. Problem Management C. Incident Reporting D. Outage Management

Slide 70

11. The correct answer is B: Problem Management.This scenario includes an investigation of root cause. Root cause determination is one of the objectives of Problem Management.



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5 Service Operation



Service Operation


Slide 71

ITIL®



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6 Continual Service Improvement




Module 6

1

ITIL®

Slide

Explain value of CSI



Page 333







Purpose Objectives Scope Value to the Business The CSI Register

2

ITIL®

Slide



Page 334







3


Demand Management




Management


Supplier Management


Design Coordination


Capacity Management



Support

Change Management



Event Management

Incident Management

Request Ful lment

Access Management


Problem Management




Testing

Change Evaluation


IT Services

Service Desk







Slide

CSI has only one process: the 7-step improvement process



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Blockbuster Inc., the world’s biggest movie-rental company, led for bankruptcy after failing to adapt its storefront model to online technology pioneered by rivals such as Net ix Inc.

Sales at Dallas-based Blockbuster, with about 3,000 stores in the U.S., shrank in recent years while Net ix grew by renting movies online and through the mail, and Coinstar Inc. put Redbox DVD vending machines in supermarkets and drugstores.

-

Blockbuster les for Bankruptcy After Online Rivals Gain

Slide 4

Examples: Blockbuster• Ask the learner what they think the company failed to do• Answer: the business model changed, the organization

was too focused on operating the current offerings to invest in service innovation

• If blockbuster had changed its business model to develop strategies to compete with Netflix and RedBox, do you feel the outcome would have been different?

Kodak• Dominated the world market for film and cameras• Lost market share due to the introduction of

digital cameras• What could the company have done differently?



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Why is CSI Important?

Slide 5

Product life-cycles are getting shorter, technological innovation is speeding up, customers are becoming more demanding and less loyal. This forces Service Providers to re-think how they provide value to customers.

In this environment, waiting for something to break before xing it invites risk. If the Service Provider does not become pro-active, there are other Service Providers eager to serve your customer who do not have a legacy of “that’s the way we have always done it”. It is a strategic decision for Service Providers to develop strategic assets that will increase capability for self improvement, or face the risk of becoming obsolete.

““IIff iitt aaiinn’’tt bbrrookkee,, ddoonn’’tt xx iitt”” - American saying

““IIff iitt aaiinn’’tt bbrrookkee,, iimmpprroovvee iitt””

Detail how CSI keeps the service provider aligned with changing business needs.



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Continual Service Improvement – Main Purpose

The voice of the customer and Prioritization of Improvements

• If you work in IT for any amount of time you will find wildly different ideas on which improvements must be prioritized. Department generally consider their own issues to be more important than that of others. This often results in “them” and “us” conflicts amongst these departments

• Though capable people often have excellent instincts on what must be prioritized, without proper base lining and quantification of the improvement benefits, decision making is open to discussion and can lead to resistance to change.

• By including the voice of the customer in improvement prioritization and by measuring improvement you move to a customer aligned “fact” based organization instead of a “hunches” and “opinions” based organization.

• Often assessing your current reporting capability base line and Improving that first will enable you to effectively execute CSI





Continual Service Improvement – Main Purpose

Slide 6

How does the service provider know what to improve?

The purpose of Continual Service Improvement is to align and realign IT services to the changing business needs by identifying and implementing improvements to the IT services that support the business processes

How can a Service Provider prioritize improvement opportunities?

How can a Service Provider ensure the services they provide support changing business needs?

How can a Service Provider measure and analyze service level achievements ?

Detail the purpose of CSI



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Prioritizing CSI Improvements

Slide 7

Voice of the customer

WE NEED A BETTER OVEN!!

NO! WE NEED SHARPER KNIVES!!

Could I have a glass of water, please?

How does a servce provider determine how to pirioritize improvemeent oportunities?

• Without proper baselining and quantification of the improvement benefits, decision making is open to discussion and can lead to resistance to change

• By including the voice of the customer in improment prioritizaton and by measuring improvment results, the service provider is better able to align with customer priorities



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Why is Measurement Important?

You can not measure what you can not define

• Important to know what the customer exactly considers is not user friendly but more important is to know exactly what the customer defines is customer friendly?” If you do not spend time making this specific you might end up measuring the wrong thing, and thinking you are improving while actually you are getting worse e.g. measuring Incident resolution time without measuring the effect on User Satisfaction.

You can not control what you can not measure

• You might have a state of the art reporting tool, but has it been set up to be able to measure this?

You can not manage what you can not control

• How can you intervene if you do not have the means to do so?





Why is Measurement Important?

Slide 8

You can not manage what you can not control

You can not control what you can not mmeeaassuurree

You can not mmeeaassuurree what you can not ddee nnee

Challenge the learners: • If customers complain that IT is not customer-friendly

enough, would it fix the problem to simply instruct all IT employees that they need to be more customer-friendly?

• You cannot measure what you cannot define: it is important to know what the customer considers to be ‘customer friendly”. If you do not understand this definiton, you may waste time measuring the wrong thing and putting effort into fixing the wrong problem

• You cannot control what you cannot measure: you may have a state of the art mesurement tool, but is it set up to measure ‘customer friendliness’? How can we measure this?

• You cannot manage what you cannot control: how can you intervene if you do not have the means to do so?



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= Function


Demand Management




Management


Supplier Management


Design Coordination


Capacity Management



Support

Change Management



Event Management

Incident Management

Request Ful lment

Access Management


Problem Management




Testing

Change Evaluation

Strategy Management for IT Services

Service Desk




CSI Spans the Entire Service Lifecycle

Slide 9

After determining what is valuable to the customer, one of the initial steps when implementing is to develop reporting capabilities that can capture the data required to track improvement

All processes, lifecycle phases, functions, people, etc. are measurable, therefore, all Service Lifecycle phases provide valuable inputs for CSI

CSI is applicable to all lifecycle phases, all processess and components of service delivery.



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Continual Service Improvement – Scope

Slide 10

The overall health of ITSM as a discipline

The maturity and capability of the organization, management, processes and people used by the services

Continual improvement of all aspects of the IT service and service assets that support them

The continual alignment of the service portfolio with the current and future business needs

Detail the scope of CSI



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Continual Service Improvement – Objectives

Slide 11

Review and analyze SLA results

Identify and implement activities to improved IT services and processes

Improve cost e ectiveness without sacri cing customer satisfaction

Choose and employ quality management methods to maintain quality levels

Ensure processes have clearly de ned objectives and that progress toward achievement can be measured

Make recommendations for improvements in all lifecycle phases

Detail the objectives of CSI



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Continual Service Improvement – Value to Business

Slide 12

Leads to a gradual and continued improvement in service quality, where justi ed Ensure IT services remain continually aligned with business requirements Results in a gradual improvement in cost e ectiveness through reduction in cost or increase in capability to handle more work at the same cost Use monitoring and reporting to identify opportunities for improvement in all lifecycle stages and processes Identify opportunities for improvement in organizational structures, resourcing capabilities, partners, technology, sta skills and training, and communications

Based on previous discussions, challenge the users to talk about the value of CSI



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The CSI Register

Slide 13

A CSI Register is established to track potential improvement opportunities and categorize and prioritize them appropriately

A database or structured document used to record and manage improvement opportunities throughout their lifecycle Part of the Service Knowledge Management System Introduces structure and viability to CSI by ensuring all initiatives are captured, recorded and bene ts realized Provides coordinated, consistent view of numerous improvement opportunities Developed and maintained by the CSI Manager

Priority KPI metric Justi cation 2 % reduction in SLA breaches Avoid negative e ect on business operations

1 % reduction failed changes Quality of delivery too low. Disruption to Operations is unacceptable

The CSI register is a database or structured doucment used to record and manage opportunities for improvement.The CSI register is managed by the CSI Manager.



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Models in CSI The Deming Cycle The CSI Approach

The 7-step Improvement Process

Slide 14

ITIL®

We will discuss two models (the Deming Cycle and the CSI Approach) in relation to CSI.CSI has one process which we will discuss.



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The Deming Cycle (PDCA)

Slide 15

The Plan-Do-Check-Act cycle is a four phase cycle for implementing CSI improvements. Repetition of the PDCA cycle results in incremental improvements that enable increased ITSM maturity

Continual Improvement

How will you improve further?

Plan for improvements

What to do?

How to do it?

Implement initiatives

Do what was planned

Monitor, measure and review

Did you achieve what you set out to achieve?

ACT PLAN

DO CHECK

The Plan-Do-Check-Act cycle (Deming Cycle) is a closed loop feedback system where feedback from any stage in the service lifeccle can be used to identify improvement opportunities for any other stage of the lifecycle.Plan – establish the objectives and processes necessary to deliver results in accordance with customer requirements and the organization’s policies.Do – implement the processes.Check – Monitor and measure processes and product against polices, objectives and requirements for the product and report the results.Act – Take actions to continually improve process performance.



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The Plan-Do-check-Act Cycle in Context

Example:

• Plan: Identify an improvement opportunity and plan a change

• Do: Test the change

• Check: Review the test results and record results and learning

• Act: Based on what you have learned, repeat the cycle again with a revised plan if the result was not satisfactory. If you did have a successful result re-use what you learned in other improvements, by beginning a new PDCA cycle





The Plan-Do-check-Act Cycle in Context

Slide 16

There is no nish line!

Standard

Standard

Consolidation Through Standardization

Continuous Improvement

ACT PLAN

DO CHECK

ACT PLAN

DO CHECK

TIME

QU

ALIT

Y IM

PRO

VEM

ENT

= Project

= Audit

= Project Plan

DO

CHECK

PLAN

= New Actions ACT

Business IT Alignment

Consolidation of the level reached

i.e. baseline

E ective Quality Improvement

You can see this PDCA cycle used in the structure of the guidance provided in each of the core ITIL publications. This guidance recognizes the need to drive governnce orgainzational design an management system from the business strategy, service strategy and service requirements.



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The CSI approach is a structured approach for implementing Service Management and any other CSI improvements

The CSI Approach

Slide 17

How do we keep the momentum going?

What is the vision?

Where are we now?

Where do we want to be?

How do we get there?

Did we get there?

Business vision, mission, goals and objectives

Baseline assessments

Measurable targets

Service & process improvement

Measurements & metrics

The approach to improvement may be summarized as follows:• Embrace the vision by understanding the high level

business objectives• Assess the current sittation to obtain an accurate,

unbiased snapshot of where the organization is right now• Understand and agree on the priorities for improvement

based on a deeper develpment of the principles defined for the vision

• Detail the CSI plan to achieve higher quality service provision by implementing or improving ITSM processes

• Verify that measurements and metrics are in place and that the milestones were achieved, process compliance is high and business objectives and priorities were met by the level of service

• Finally, the approach should ensure that the momentum for quality improvement is maintained by assuring that changes become embedded in the organization



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The 7-step Improvement Process

Slide 18

The propose of the 7-Step Improvement process is to de ne and manage the steps needed to identify, de ne, gather, process, analyze, present and implement improvements

ACT PLAN

DO CHECK

WISDOM

KNOWLEDGE

DATA

INFORMATION

2. De ne what you will measure

1. Identify the strategy for improvement

3. Gather the data

4. Process the data 5. Analyze the information and data

7. Implement improvement

6. Present and use the information

Detail the purpose of the 7-Step Improvement Process



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7-step Improvement Process – Objectives

Slide 19

Reduce cost and ensure alignment with required business outcomes

Identify actions to establish improvement

Understand what and why to measure

Identify opportunities for improvement

Detail the objectives of the 7-Step Improvement Process



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7-step Improvement Process – Scope

Slide 20

Analysis of performance and capabilities

Continual alignment of the portfolio of IT services with business needs

Best use of technology

Organizational structure, personnel, functions, roles, skills

Detail the scope of the 7-Step Improvement Process



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Metrics and Measures

Slide 21

ITIL®

This section talks to the value and principles around Metrics and Measurement



Page 353






The trail from vision to measurement and all the way back ensures that measurements can be directly tied back to strategic value, enable dashboards and greatly facilitate benchmarking

CSI Measurement System

Slide 22

CCrriittiiccaall SSuucccceessss Factors (CSF) are something that must happen for an IT service, process, plan, project or other activity to succeed

Critical Success Factors (CSF)

Key Perform Indicators (KPI) are key metrics used to measure the achievement of CSF

Key Perform Indicators (KPI)

A baseline is a snapshot taken at a point in time and used for later comparison

Baseline

Vision

Mission

Goals

Objects

CSF

KPI

Metrics

Measurements

Define CSF, KPI and Baseline.Describe how measures are tied to strategies.



Page 354


Types of Metrics

Service Metrics – indicate the result of an end-to-end service

E.g. End to end Service Availability over any given time

Technology Metrics – component and application based

E.g. Performance of individual components needed to provide a Service. E.g. Bandwidth utilization of network links

Process Metrics – CSF's and KPI’s that indicate the health of a process

E.g. Level of process compliance, throughput and performance of the process





Types of Metrics

Slide 23

Indicate the result of an end-to-end service

Service Metrics

Component and application based

Technology Metrics

CSF’s and KPI’s that indicate the health of a process

Process Metrics

Describe each type of metrics.Challenge the users to name one or more measures of each type.



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Technology and Architecture

Service Automation

Slide 24

ITIL®



Page 356






Technology Considerations

Improvements in design and engineering of activities, tasks and interfaces can sometimes compensate for limitations of people Improvements in knowledge and skills can partly make up for poorly designed processes, applications and infrastructures Automation of routine processes can reduce variation Productivity tools can increase e cient use of human resources Analytical modeling and simulation tools are useful in analyzing the impact of strategies, tactics and operations

Slide 25

Describe uses of technology in ITSM.



Page 357






Automation of service processes:

Improves quality of service Reduces costs Reduces risk by reducing complexity and uncertainty E ciently resolving trade-o s

Automation may bene t:

Design and modeling Service catalog Pattern recognition and analysis Classi cation, prioritization and routing Detection and monitoring Optimization

Service Automation

Slide 26

1. Don’t implement a tool if you do not know your own process well 2. Simplify your process before automating it

Best Practice:

Describe uses and value of automation.Stress that implementing a tool will not fix a poor process. Processes should be simplified first and then automated.



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Competence And Training

Competence and skills Training

Slide 27

ITIL®



Page 359






Successful ITSM depends on People involved in service management having the appropriate education, training, skills and experience.

ITSM Competence, Skills and Motivation

Slide 28

Competence and skills frameworks

The Skills Framework for the Information Age (SFIA)

Standardizing job titles, functions, roles and responsibilities can simplify service management and human resource management

Is an example of a common reference model for the identi cation of the skills needed to develop e ective IT services, information systems and technology



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Lean IT Is the extension of lean manufacturing and lean services principles to the development and management of information technology (IT) products and services. Its central concern, applied in the context of IT, is the elimination of waste, where waste is work that adds no value to a product or service.

COBIT® 5 COBIT® 5 helps enterprises create optimal value from IT by maintaining a balance between realizing bene ts and optimizing risk levels and resource use.

ISO/IEC 20000 – International standard for service management Sourcing Governance Framework PRINCE2® – Project management methodology

Other Best Practice Training

Slide 29



Page 361






Challenge


Slide 30

ITIL®

Several other frameworks and standards complement and have synergies with the ITIL service lifecycle. This page introduces a subset of these frameworks.



The correct answer is C: Setting measurable targets.In the CSI approach, the third step involves undertanding and agreeing priorites for improvement and setting targets.

Page 362







In the CSI Approach, “Where do we want to be?” corresponds to which activity? Answer A. Baseline measurement B. Service improvement C. Setting measureable targets D. Process improvements

Slide 31

1.



Page 363







True or False? The CSI Approach steps in sequence are: 1. What is the vision? 2. Where are we now? 3. How do we get there? 4. Where do we want to be? 5. Did we get there? 6. How do we keep the momentum going? Answer A. True B. False

Slide 32

2. The correct answer is B: False.In this question the steps are not in order.The correct sequence is:

• What is the vision?• Where are we now?• Where do we want to be?• How do we get there?• Did we get there?• How do we keep the momentum going?



Page 364







Which stage of the Service Lifecycle is MOST concerned with learning and improvement as its objectives? Answer A. Service Design B. Service Transition C. Continual Service Improvement D. Service Management

Slide 33

3. The correct answer is C: CSI.CSI is concerned with learning and improvement.



Page 365







Looking for ways to improve process e ciency and cost e ectiveness is the purpose of which stage of the Service Lifecycle? Answer A. Service Design B. Continual Service Improvement C. Service Operation D. Service Transitions

Slide 34

4. The correct answer is B: CSI.This question correctly states the purpose of CSI.



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Match the following activities with the Deming Cycle stages: 1. Monitor, Measure and Review 2. Continual Improvement 3. Implement Initiatives 4. Plan for improvement

Answer A. 1-Plan, 2-Do, 3-Check, 4-Act B. 3-Plan, 2-Do, 4-Check, 1-Act C. 4-Plan, 3-Do, 1-Check, 2-Act D. 2-Plan, 3-Do, 4-Check, 1-Act

Slide 35

5. The correct answer is C 4-Plan, 3-Do, 1-Check, 2-Act.This answer correct aligns the Deming Cycle with the main concept for that phase:

• Plan – Plan for improvements• Do – Implement initiatiees• Check – Monitor, Measure and Review• Act – Continual Improvement



Page 367







Which service lifecycle process is concerned with de ning and managing the steps needed to identify, de ne, gather, process, analyze, present and implement improvements? Answer A. Incident Management B. Release and Deployment Management C. Continual Service Improvement D. The 7-Step Improvement Process

Slide 36

6. The correct answer is D: The 7-Step Improvement Process.Note that answer C is a lifecycle phase rather than a process, so may be quickly disregarded.The question presents the actual steps in the 7-Step Improvement Process.



Page 368






Any Questions?

Slide 37

ITIL®




Business Case Study

Page 369





ITIL® Foundation with Case Study Business Case Study

Page 371


Java Bean Lounge, Ltd.Global Tea/Coffee ShopITIL® Foundation

IntroductionJava Bean Lounge (JBL) of Hastings, England, is a privately owned food and beverage company founded in 1999.

JBL has grown rapidly to become one of the leading tea and coffee retailers on the global stage. JBL’s long-term mission is to become the leading purveyor of the finest tea and coffee in the world. Its goal is to become a premier customer-focused and cost-effective global beverage retailer.

During recent years, JBL has expanded substantially to become the fifth most popular tea and coffee retailer in the world. JBL achieved such spectacular growth through internal investment and not through acquisition or merger.

JBL has Major Operations Centers (MOCs) in Dubai, Amsterdam, London, Mumbai, Miami and São Paulo, as well as 1,066 retail outlets worldwide. In each country there is a head office managing local operations, supported by the regional MOC.

Since JBL is privately owned, it operates as a truly independent company, which enables it to respond quickly to market changes and to implement long-term plans, without unnecessary interference or delay.

Management StructureThe Chief Executive Officer is Natasha Wood, who is also the co-founder and president of JBL. The CEO and group directors are based at the Central Head Office, 135 Norman Road, Hastings, England, United Kingdom.

The Group Directors are:

• Finance and Administration: Lucas Neill

• Commercial and Consumer: George McCartney

• Retail Business Solutions: Steve Leigh

• Logistics and Maintenance: Eric Clapton

• Creative Design: Harry McGuire

• Human Resources: Rebecca Lynch

• Information and Communications Technology (ICT): Tracey Green (CIO)

• Sales and Marketing: Craig Wheeler

• Press and Public Relations: Arno Kneipp

• Convergent Business: Marius Brink

• Legal and Regulatory: Richie Keys

JBL employs 18,235 people worldwideMaterial in this document has been sourced from ITIL ® Lifecycle Suite, 2011 edition. No part of this document may be reproduced in any form without the written permission of both Quint Wellington Redwood and AXELOS Limited. Permission can be requested at www.quintgroup.com and [email protected].




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JBL’s VisionIt is JBL’s vision to achieve a profit of $30,000,000 and enhance its position globally to become one of the top three recognizable brands in its market sector within the next three years.

To realize this vision and prepare for competition, JBL has adopted a six-part growth strategy: Optimize returns from the “traditional” products and services throughout the world

1. Develop and deliver value-added services (e.g., through the introduction of Internet cafés into all retail stores).

2. Streamline the management of inventory systems (e.g., development of online ordering systems).

3. Improve productivity.

4. Increase retail footprint controlled through sustainable growth.

5. Transform corporate culture—be creative, be rewarded.

Due to economic conditions, its planned growth target for this year is 9.5%. Last year’s profit was $17,000,000 and the previous year’s profit was $11,000,000.

The JBL MOC Organizational StructureJBL has created nearly identical organizational structures at each of the MOCs. Regional managers control each MOC and they report directly to the board of directors. They are responsible for all the retail outlets and operational duties within each region. Reporting to the regional manager are line managers who control the following departments:

Logistics

The logistics department’s main responsibility is to ensure that all stock required for the retail outlets is being delivered on time (either by sea or land) to the appropriate region.

Auto Maintenance

The auto maintenance department is responsible for maintaining and stocking the necessary parts for the road transport fleet. JBL has recently decided to outsource the maintenance of its road vehicles to a third party specialist that has multiple worldwide locations for vehicle maintenance.

Sales and Marketing

The sales and marketing department is responsible for obtaining orders from each store with regards to stock. They will also be responsible for managing the new internal online order system that will be hosted on the JBL intranet. They will need to develop a close relationship with logistics to ensure that the new online ordering system is compatible with the existing logistics operation.





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Finance and Administration

The accounts department takes care of the MOC financial accounting, including the management of accounts payable and receivable. The accounts department also administrates the payment of salary to staff members and any contractors.

The accounts department works very closely with the sales and marketing department. The online order system, managed by the sales department, will need an interface with the computer systems controlled by the accounts department.

Human Resources

The human resources department is responsible for the recruitment, selection and discharge of personnel and, also provides day-to-day personnel management support for human resources. JBL sees this function as being critical to their organization. The well-being of all JBL employees is a major priority.

ICT Department

Each MOC employs a small team of IT staff to help deliver and support IT services for its specific region. These groups run fairly autonomously and they manage their own support teams and processes; in the past this has been acceptable. There has never been a centrally coordinated policy unit for IT.

However, in London there is a central ICT department. Its responsibility is to manage JBL’s applications, dedicated network infrastructure (between the UK and all regional MOCs) and the company intranet. The department is also responsible for the development and testing of the new online order system.

The current IT organizational structure of each MOC is as follows:

• Regional IT Manager: Overall manager for the specific region (reports to the CIO)

• Network Manager: Responsible for LAN infrastructure

• Project Manager: Responsible for testing and co-coordinating any modifications to the systems and solving small IT issues

• IT Support Manager: Responsible for managing and co-coordinating IT support engineers

Each region has a small team of mobile engineers that travels to its local retail outlets and solves the most commonly occurring issues independently. Each retail outlet contacts the mobile engineers directly if IT Incidents occur. If resolution is not possible then the engineers can call suppliers directly to solve the Incident. However, it is very costly to escalate Incidents in this manner.





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JBL Information SystemsGeneral

JBL’s information systems use a range of IT “off the shelf” systems for finance, point of sale, stock ordering and CRM management. The computerization of JBL’s information systems ranges in levels of maturity. Each regional MOC has its own customized IT system setup, due to the geographical distance between each region and the lack of standardization for the various IT systems. However, there are certain aspects that can be considered fairly mature. For example, a large part of the financial accounting for the entire JBL organization has been computerized.

The manual management of stock ordering throughout the regions has always been a significant issue for JBL. The urgent requirement for an online ordering system has been identified to allow all retail outlets to order stock through a centralized system that has incorporated workflow management. Resolution of this issue is so urgent that it is seen by the senior management of JBL as a key aspect for future success, and an enabler for one of the six key strategy areas: improving productivity.

General Systems

A general suite of applications is offered via the local network:

• Email

• Word processing

• Spreadsheet functionality

• Appointment calendars

• Scheduling software

• Human resources applications

The links between local networks and the links between desktop computers are completely transparent to the users.

The application software is stored centrally on the main servers within the ICT department in London; there is functionality to allow remote users to download them as needed. However, in each head office around the world, local versions are kept to allow for easier management of the local standard operating environments.

Hardware

Each of the Head Offices uses a series of servers for capturing and recording their information. Since each region has been managing their its IT requirements there is no standardized operating environment. The server platforms range from non-supported Windows NT servers to new Windows 2008 servers.





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Network

The Wide Area Network (WAN) has been outsourced to a global provider, Sluit Wereld, Ltd. The outsourcer manages and coordinates the leasing of the network infrastructure and is responsible for providing monitoring information regarding its performance.

The cost to JBL of having Sluit Wereld maintain the WAN infrastructure has increased rapidly within the past two years. It is also becoming apparent that the infrastructure may not be as stable as outlined in the underpinning contract with Sluit Wereld.

Failures of the WAN often result in lost revenue and damaged corporate image. Point of Sale (POS) is also very dependent on the quality of the WAN.

Current Issues• There appears to be a breakdown of communication between the ICT department and

the business units. Due to a lack of understanding about systems and processes within the IT organization, the day-to-day operation of the business is affected. The business feels that there is a lack of internal cohesion within IT and this is causing the channels of communication to be confused and disorganized. There are some within senior management who feel ICT should be outsourced.

• Recently IT had considerable negative feedback from users regarding the standards of help and assistance provided by the technical teams within the MOCs. A recent report recommended that a Service Desk be set up to track, monitor and own user issues and requests; it was also recommended that they manage all user communication.

• Currently each MOC has its own Configuration Management Data Base (CMDB). However, there is no standard product or process to manage configurations throughout the organization. All audits are carried out internally by each MOC.

• The CIO would like to move towards a best practice approach with process-oriented systems. However, some teams are continuing to resist and work in isolation.

• The need to bring JBL retail stores into the internet age has also been identified as a management priority. The enhancement of the retail stores to include internet cafés will need a significant investment in IT resources and capabilities.





Exercise

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ITIL® Foundation with Case Study Exercise

Page 379


Introduction ExerciseInstructor Led

Exercise:Divide students into groups of 4-5

Timing:15 minutes in groups

An appreciation of valueConsider, as consumers, what the key attributes of your favorite or preferred coffee shop are and rank these attributes in order of priority.


An appreciation of ValueExercise: Split students into groups of 4-5 Timing:15 minutes in groupsIn groups ask them to consider as consumers what the key attributes of their favorite or preferred coffee shop are, ask students to place them in an approximate priority order.Aim

• Teaching value of customer perception, often the taste and quality of the coffee comes near the bottom of the value chain

• The coffee shop is selling much more than a cup of coffee

• We discuss all the support mechanisms in place to deliver the “service” like suppliers, staff, customers and governance (Health and Safety)

• Identify cost value; some customers are willing to pay much more but why? Location, brand image, discuss added value

• This exercise is important as the students develop their understanding of the strategic phase of the life cycle

• Where possible double reference by using internal IT examples around product enhancement, services they offer that fit into customer value network

Examples:Location, environment, company ethics, coffee taste, cost, internet, seating, staff, customer service, product choice, availability of food.




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Service Strategy ExerciseGroup Exercise


Timing:15 minutes

Creation of valueDefine the following customer descriptions from JBL in terms of high or low utility and warranty

• The email service is good. My users inform me it’s always available wherever they are in the world and it meets all the requirements in HR.

• The accounts software is useable when it’s available. We always seem to have issues logging on first thing in the morning and this causes delays to our schedule. I don’t think all of our requirements have been met, as we still have to do much of the work manually and then add it into the system.

• The POS connection is always available and we’ve never had any security issues with it. However, the device is difficult to understand and the staff often gets confused with the options on the screen.

• Customers often complain that during lunchtime, the connection to the shop’s Internet is slow and they get constant disconnections. This is harming us, as most of our clients are business people due to our location next to the Financial District. We never get any complaints until around 11:00 a.m.


Creation of valueExercise: Split students into groups of 4-5 Timing:15 minutesDefine the following customer descriptions from JBL in terms of high or low Utility and Warranty

• The email service is good, my users inform me it’s always available wherever they are in the world and it meets all the requirements in HR.

• High Utility High Warranty• The accounts software is useable when its available, we

always seem to have issues logging on first thing in the morning and this causes delays to our schedule. I don’t think all our requirements have been met as we still have to do much of the work manually and then add it into the system.

• Low utility and low warranty• The POS connection is always available and we’ve never

had any security issues with it, however, the device is difficult to understand and the staff often get confused with the options on the screen.

• Low utility and high warranty• Customers often complain that during lunch time periods

that the connection to the shops internet is slow and they get constant disconnections. This is harming us as most of our clients are business people due to our location next to the World Trade Centre. We never get any complaints up until around 11am.

• High utility and low warrantyAim 1. Demonstrate that without both utility and warranty being present you can’t create value as an outcome.




Page 381


Service Design ExerciseGroup Exercise


Timing:30 Minutes

The directors of JBL have been asked to consider a co-sourcing approach in their MOCs to support the expansion program.

1. Review the case study and list the possible benefits and issues to the organization.

The Service Catalog is a subset of the Service Portfolio. However, it is divided into two aspects: the Business Service Catalog and the Technical Service Catalog.

2. Select from the list below those attributes you would include in your Business Service Catalog for the proposed online ordering system.

Attribute Catalog (Business/Technical)Business OwnerBusiness PriorityService CostIP ConfigurationsService DescriptionService Design PackageHours of ServiceService Review ScheduleFirewall Version


Service Design ExerciseExercise – Split students into groups of 4-5 Timing:30 MinutesThe directors of JBL have been asked to consider a Co-sourcing approach in their MOCs to support the expansion program.1. Review the case study and list the possible benefits and

issues to the organization The Service Catalogue is a sub-set of the Service Portfolio, however, it is split into two aspects the Business Service Catalogue and the Technical Service Catalogue.

2. Select from the list below those attributes you would include in your Business Service Catalogue for the proposed online ordering system.

• Attribute Catalogue (Business/Technical)• Business Owner - Yes• Business Priority - Yes• Service Cost - No• IP Configurations - No• Service Description - Yes• Service Design Package - No• Hours of Service - Yes• Service Review Schedule - Yes• Firewall Version - No

Aim• Clarify the different options available in sourcing,

realization of possible benefits• Development of the Service Catalogue giving ensuring

students understand the value both aspects, business and technical, and to whom they apply.




Page 382


Service TransitionGroup Exercise


Timing:45 minutes

BackgroundPart of the strategic vision was the introduction of Internet cafes into JBLs Service Catalog. This is a high profile transition for them and brand protection is essential; a great deal of money is being spent to advertise the new service, as JBL are keen to highlight their market differentiations.

The CIO has agreed to the following with all the regional IT managers:

• Each retail outlet IT will be managed by its regional MOC’s ICT department

• Each retail outlet will have a local server with a direct link to the MOC

• Each retail outlet will have the following facilities:

• Onsite network printer

• Wireless access (through a captive portal architecture)

• A local network for internal management systems and online ordering

• An external network to access the Internet

• Each retail outlet migrating to Internet café status will have a minimum of 10 and maximum of 20 hardwired PCs (amount based on the size of the location) that will be administered from the MOC remotely

• Each regional MOC should be able to account for all its assets

• Each MOC will be accountable for Changes and Releases to the service

1. List the possible issues you can imagine with initiating an organizational SACM process from the case study and additional information provided.

2. Review the RFCs (Section A) and categorize them as a Standard, Normal, Emergency or Change proposal (list answers on the RFC, following page).

3. There are three high profile releases planned. What approaches would you recommend for them and why?

a. Internet café

• 300 cafes to be refurbished this year and operating as Internet cafés

b. Online Ordering System

• All retail outlets supported by MOCs, all using the system within three months

c. Accounts Software Release v4.2

• All accounting teams must on the same version for end-of-month reporting.Material in this document has been sourced from ITIL ® Lifecycle Suite, 2011 edition. No part of this document may be reproduced in any form without the written permission of both Quint Wellington Redwood and AXELOS Limited. Permission can be requested at www.quintgroup.com and [email protected].

Service Transition Exercise – Split students into groups of 4-5 Timing:45 minutesBackgroundPart of the strategic vision was the introduction of internet cafes into JBLs service catalogue. This is a high profile transition for them where brand protection is essential; a lot of money is being spent advertising the new service as JBL are keen to highlight their market differentiations.The CIO has agreed the following with all the Regional IT Managers.

• Each Retail Outlet IT will be managed by their regional MOC ICT department

• Each Retail Outlet will have a local server with a direct link to the MOC• Each Retail Outlet will have the following facilities• Onsite network Printer • Wireless Access (through a captive portal architecture)• A local network for internal management systems and online ordering• An external network to access the internet• Each Retail Outlet migrating to internet café status will have a

minimum of 10 and maximum of 20 hardwired PC (amount based on the size of the location) that will be administered from the MOC remotely

• Each regional MOC should be able to account for all their assets• Each MOC will be accountable for changes and releases to the service

1. List the possible issues you can see with initiating an organizational SACM process from the case study and additional information provided?

2. Review the RFC’s (Section A) and categorize them as Standard, Normal, Emergency and change proposal? (Answer on RFC)

3. There are three high profile releases planned, what approaches would you recommend for them and why?

a. a. Internet café (Phased) i. 300 cafes to be refurbished this year and operating as internet cafes

b. b. Online Ordering System (Phased)i. All retail outlets supported by MOCs, all using the system with in 3 months

c. c. Accounts Software Release v4.2 (Big Bang)i. All accounting teams need to be on the same version for end of month reporting




Page 383


Service TransitionSection A – RFCRFC Number

DXB-065

Requester Mohammad Yaghi Manager’s Name Justin ConesContactNumber

050123456 Manager’sAuthorization

Yes

Date Needed ASAP Estimated Cost $15ReasonRequired

Enable Customers to Print

Change RequestedThe HP LaserJet color printer is out of cyan ink and needs to be replaced.

Resources NeededDesktop support engineer needed to renew the cyan ink cartridge and realign the print heads.

Estimated Impact Justifi cationCustomers are upset and complaining that they cannot print on one of the printers. This is leading to overuse of the remaining printer, and long queues during peak hours.


RFC Number DXB-065Standard




Page 384


RFC Number

DXB-066

Requester John Smith Manager’s Name Alice WhiteContactNumber


Yes

Date Needed ASAP Estimated Cost $14,000ReasonRequired

New server and PCs required

Change RequestedA new server and PC suite are required in the Rome central retail outlet. The outdated Windows 98 PCs and the NT4 server are not up-to-date with the requirements of the customers. Customers are now referring to this outlet as the “museum café,” which is very embarrassing.

Resources NeededA site survey and all of the hardware, including installation and training.

Estimated Impact Justifi cationCustomer satisfaction will be increased on-line with strategic Internet cafe’ goal.


RFC Number DXB-066Normal




Page 385


RFC Number

DXB-067

Requester James La Rue Manager’s Name Jack Turner ContactNumber


Yes


Help users navigate the monitors.

Change RequestedNeed 30 rainbow-colored mouse pads for Paris central shop.

Resources NeededOnly the procurement of the items.

Estimated Impact Justifi cationI think that rainbow mouse pads will give our shop the upbeat look it needs and I like rainbows as they make me feel happy.


RFC Number DXB-067Is this a change?




Page 386


RFC Number

DXB-070

Requester Mohammad Yaghi Manager’s Name Tracey GreenContactNumber


Yes


Causing accounting issues

Change RequestedPOS terminal replacement.

Resources NeededHardware, training and installation by a qualifi ed engineer/administrator.

Estimated Impact Justifi cationThe POS terminal continually resets unexpectedly, and this sometimes occurs during transactions, which disrupts debit and credit card processing, resulting in lost or duplicate charges.We have also noticed that when we check payments at the end of the day, it is diffi cult to account for all the purchases made against the fl oat or processed transactions, which means we do not have an accurate tally of the day’s receipts.






Page 387


RFC Number

DXB-073

Requester Archibald Renoir Manager’s Name Mohammad YaghiContactNumber


Yes

Date Needed ASAP Estimated Cost UnknownReasonRequired

More bandwidth required

Change RequestedMore Internet bandwidth is required for the main café shops in Spain, France and Portugal.

Resources NeededProcurement, testing, and instruction if new hardware is used.

Estimated Impact Justifi cationAs a result of having low bandwidth during peak times, we are repeatedly fi xing the same Incidents, which shift our technical resources away from other priorities.Our customers complain that they cannot access the Internet when they need to and our reputation will begin to suff er unless something gets done soon.






Page 388


RFC Number

DXB-078

Requester Sammy Cien Manager’s Name Soren BorstedContactNumber


Yes

Date Needed ASAP Estimated Cost No CostReasonRequired

Password Change

Change RequestedReset password for Sammy Cien – Account Database.

Resources NeededApplication Team (10 minutes’ work).

Estimated Impact Justifi cationUnable to access the up-to-date accounts data, causing delays in processing at end-of-month.






Page 389


RFC Number

DXB-111

Requester Chris McGuire Manager’s Name Craig HazelContactNumber


Yes

Date Needed ASAP Estimated Cost $3,000,000ReasonRequired

Building Expansion

Change RequestedSee business case 3434342a (Board approved).New premises for European MOC.

Resources NeededSee business case 3434342a.

Estimated Impact Justifi cationCapacity to meet European expansion and IT growth forecasts.Must be complete within 18 months; this has business priority status 1.






Page 390


RFC Number

DXB-023

Requester Jorgen Friguld Manager’s Name Ashmed Mohammed

ContactNumber


Yes


New Hire

Change RequestedJack Black, a new employee in the accounts department, needs a user account with email access.

Resources NeededThe User account should be a member of the groups below:

• Print• Accounts• Online ordering group

Since Jack has not passed his probation, he should not be given access to the personnel drive.

Estimated Impact Justifi cationJack is currently in the accounts department as a principal auditor and needs a user account and email address to access resources enabling him to fulfi ll his duties.






Page 391


RFC Number

DXB-112

Requester Chuck Seagull, Jr. Manager’s Name Gale Hatcher ContactNumber


Yes

Date Needed ASAP Estimated Cost $2,000ReasonRequired

New Hire

Change RequestedTarquin Farquhar, a new hire, requires IT equipment.

Resources NeededMr. Farquhar requires a laptop with the following specs: 12.1 screens, 3GB RAM, 500GB HD, 3.8GHz Duo processor.His software requirements are: Vista Ultimate, W2007 Offi ce, Adobe Acrobat Professional, Front Page, Viso, Cisco VPN Software, Ulead Expert video editing software.This cost is pre-authorized.

Estimated Impact Justifi cationMr. Farquhar has been appointed as the principal marketing consultant and he requires the equipment in order to fulfi ll his duties.






Page 392


RFC Number

DXB-113

Requester Livi Denden Manager’s Name Carlos MackerelContactNumber


Yes


Restore of fi les

Change RequestedRestore of Dame Edna’s fi les to $z23a DB.

Resources NeededBackup tapes, Backup Administrator Files:

• Excel Spreadsheet Address.xls• Last saved at the start of the month

Estimated Impact Justifi cationCritical, unable to run accounting sheets until this done. There is a 3:00 p.m. cut-off point today for the authorization and submission of fi les to the bank. The CIO wants this resolved ASAP.


RFC Number DXB-113Emergency




Page 393


Operations ExerciseGroup Exercise


Timing:45 minutes

Background:Since the release of its Internet café service, JBL is operating with associated major Incidents on a weekly basis. The CIO has come under heavy pressure from the board of directors for the poor results and lack of communication from the regional MOCs, and must find a resolution.

1. You are the CIO, and to help with poor communication and lack of ownership demonstrated by the MOC support teams, you want to introduce a Service Desk function. Considering the issues currently affecting the organization and in particular ICT, what type of structure would you recommend and why?

2. The regional IT manager has asked you to summarize the benefits of having Problem Management implemented to Incident Management. List the benefits.

3. Examine the events below and assign them the appropriate event category: (Information, Warning, or Exception)

a. *****CPU6 Running at 100%******* Threshold set at 90%

b. Automated email from the MOC Domain Controller stating the below


Operations ExerciseExercise – Split students into groups of 4-5 Timing:45 minutes1. There’s no set correct answer, this exercise is used

to create debate about the various benefits of all the service desk types.

2. List the benefits3. a. Exception

b. Exception




Page 394


c. Sam Squires logged onto terminal 12 (Password authenticated)

d. ****Memory utilization of server XX23 is currently at 65%**** Threshold set at 75%

e. ****Backup 776a complete please check output logs*****

f. ****Batch job Accounts12 completed**** No errors

4. The problem manager is newly appointed and needs your ITIL® experience to help him chart how Problem Management relates to the other processes. Please provide one input and output between Problem Management and its associated processes below:

PROBLEMMANAGEMENT

INCIDENTMANAGEMENT

CHANGEMANAGEMENT

AVAILABILITYMANAGEMENT

Copyright © AXELOS Limited 2015. All rights reserved. Material is reproduced under licence from AXELOS


c. Informationd. Warninge. Informationf. Information4.Aim

• Highlight the key role the Service Desk plays within today’s modern ICT organization. Demonstrate the value in considering different structure types

• Show the Incident/Problem Management relationship, identify proactive and reactive activities

• Examples of Event Management – clarification• Introduction to the concept of process

relationship networks




Page 395


Continual Service Improvement ExerciseGroup Exercise

EXERCISE:DIVIDE STUDENTS INTO GROUPS OF 4-5

TIMING:20 MINUTES

As the newly appointed CSI manager, you have been asked by the CIO to coordinate a structured approach for improvements to IT services and processes throughout JBL. Highlight the steps that you would undertake to achieve this. For each of the steps, explain briefly what is involved and the benefits of each step.





Page 396


Continual Service Improvement ExerciseGroup Exercise

EXERCISE:DIVIDE STUDENTS INTO GROUPS OF 4-5

TIMING:20 MINUTES

The CIO is reviewing ways to improve the perception of IT towards Continual Service Improvement (CSI) by demonstrating to the business that IT wants to better integrate with the business. The CIO believes that honesty is the best policy and so has decided to “tell it like it is.”

You are the CIO for the organization. The executives are agreeable to your proposal of implementing a CSI approach to services and processes.

Which of the following set of Critical Success Factors will properly demonstrate that the organization’s management commitment to Continual Service Improvement (CSI) is genuine?

A)

• Appointment of a CSI manager

• Adoption of the Service Lifecycle approach throughout the IT department

• Visible management participation in CSI launch

B)

• Appointment of a CSI manager

• Approval of the CSI initiatives as project0s

• Appropriate resource allocation for CSI projects throughout the Service Lifecycle

C)

• Adapting Service Management processes to suit the IT vision

• Embedding CSI into everyone’s job description

• Appropriate technology to support the CSI activities

D)

• Ongoing, visible management participation

• Sufficient ongoing funding for CSI activities

• Adoption of the Service Lifecycle approach throughout IT


Continues Service Improvement ExerciseExercise – Split students into groups of 4-5 Timing:20 minutesGuideD This is the most complete list, continual funding, being visible and participating when required as well as ensuring that the organization embraces the service lifecycle approach is the best way to demonstrate ongoing commitment.AThis answer is partially correct but would only demonstrate an initial commitment to CSI, for sustainability there would need to be an indication of visible management participationCThis answer is weak as it is too internally focused and does not show long-term commitment. Adapting ITSM processes to suit the IT vision is internally focused. Making CSI part of everyone’s job description without associated education, supervision and measurement is not likely to be successful and is not really a demonstration of ongoing management supportBRubbish



Page 397




Sample Paper 1



© AXELOS Limited 2016. AXELOS® and ITIL® are registered trademarks of AXELOS Limited.

The AXELOS swirl logo is a trade mark of AXELOS Limited. Reproduction of this material requires the permission of AXELOS Limited.

All rights reserved. 1

EN_ITIL_FND_2011_SamplePaperC_V2.1

ITIL® Sample Papers

The Official ITIL Accreditor Sample Examination Papers

Terms of use

Please note that by downloading and/or using this document, you agree to comply with the terms of

use outlined below:

1. All sample papers (in electronic or paper format) are for personal use only.

2. The sample papers are intended for the following use only:

As a study aid for candidates who wish to sit an ITIL examination, or

For reference purposes.

3. By downloading a complimentary digital copy of any of the ITIL sample papers, you agree not to:

Print or reproduce it (unless it is for your own personal use);

Forward or share it to/with any third party;

Sell the document.

4. If you wish to use the whole, or part, of this sample paper for any purpose other than for your own

study or reference, please contact the AXELOS Accreditation Team ([email protected]).







ITIL Foundation Examination

Sample Paper C Question Booklet

Multiple Choice

Exam Duration: 60 minutes

Instructions

1. You should attempt all 40 questions. Each question is worth one mark.

2. Mark your answers on the answer sheet provided. Use a pencil (NOT ink pen).

3. There is only one correct answer per question.

4. You have 60 minutes to complete this paper.

5. You must achieve 26 or more out of a possible 40 marks (65%) to pass this

examination.








1. Which is NOT a source of best practice?

a) Standards

b) Technology

c) Academic research

d) Internal experience

2. Which three are the characteristics of ITIL guidance that help to make it successful?

a) Prescriptive, best practice and solution specific

b) Publicly available, prescriptive and best practice

c) Vendor neutral, non-prescriptive and best practice

d) Publicly available, solution specific and vendor neutral

3. What is the ITIL term for customers of an IT service provider who purchase services as agreed in a

legal contract?

a) Strategic customers

b) External customers

c) Valued customers

d) Internal customers








4. Which is NOT defined as part of every process?

a) Roles

b) Inputs and outputs

c) Functions

d) Metrics

5. In which areas would ITIL complementary guidance provide assistance?

1. Adapting best practice for specific industry sectors

2. Creating service application interfaces

3. Specialized practices for IT recruitment

4. Integrating ITIL with other operating models

a) 1 and 2

b) 2 and 3

c) 3 and 4

d) 1 and 4

6. Which is an objective of service transition?

a) To negotiate service levels for new services

b) To ensure that service changes create the expected business value

c) To reduce the impact of business critical service outages on key services

d) To plan and manage entries in the service catalogue








7. Which lifecycle stage ensures that the impact of service outages is minimized on a day-to-day

basis?

a) Service design

b) Service operation

c) Continual service improvement

d) Service transition

8. Which is the BEST description of a service catalogue?

a) A document used by IT staff to identify activities that must be performed

b) A list of all service level agreements (SLAs)

c) A list of all business requirements that have not yet become services

d) The part of the service portfolio that is visible to customers

9. Which of the following is concerned with policy and direction?

a) Capacity management

b) Governance

c) Service design

d) Service level management








10. Which is an example of an operational level agreement (OLA)?

a) A document that outlines agreements between service providers in the same organization

b) A document that outlines the responsibilities of both the IT service provider and the customer

c) A document that describes to a customer how services will be operated on a day-to-day basis

d) A document that describes business services and their service level targets to operational staff

11. A known error record has been created after completing diagnosis of a problem but before finding a

workaround.

Is this a valid approach?

a) Yes: a known error record can be created at any time it is prudent to do so

b) No: a known error record should be created before the problem is logged

c) No: a known error record is created when the original incident is raised

d) No: a known error record should be created with the next release of the service

12. Which is used to communicate a high level description of a major change that involved significant

cost and risk to the organization?

a) Change proposal

b) Change policy

c) Service request

d) Risk register








13. Which person or group is responsible for agreeing service targets with the service provider?

a) The user

b) The customer

c) The supplier

d) The service desk staff

14. Which of the following is TRUE regarding value?

a) Value is defined by the customer

b) Value is defined by the cost of the service

c) Value is determined by the features offered to the customer

d) Value is determined in financial terms only

15. Software and technology are examples of which of the four Ps?

a) Processes

b) Performance

c) Products

d) Partners








16. What is the MAIN reason for a service provider to understand the five aspects of service design?

a) To prevent security breaches in mission critical services

b) To ensure a holistic, results-driven approach

c) To allow service design to cut costs

d) To prevent breaches of service level agreements (SLAs)

17. Which is the CORRECT set of steps in the Continual Service Improvement (CSI) approach?

a) Devise a strategy; Design the solution; Transition into production; Operate the solution;

Continually improve

b) ‘Where do we want to be?’; ‘How do we get there?’; ‘Who plans the improvement?’; ‘How do we

know we arrived?’; ‘How do we keep the momentum going?’

c) Identify the required business outcomes; Plan how to achieve the outcomes; Implement the

plan; Check the plan has been properly implemented; Improve the solution

d) ‘What is the vision?’; ‘Where are we now?’; ‘Where do we want to be?’; ‘How do we get there?’;

‘Did we get there?’; ‘How do we keep the momentum going?’

18. Which three types of metric support Continual Service Improvement (CSI) activities?

a) Technology metrics, service desk metrics and Key Performance Indicator (KPI) metrics

b) Process metrics, software metrics and financial metrics

c) Technology metrics, process metrics and service metrics

d) Service metrics, technology metrics and Key Performance Indicator (KPI) metrics








19. Which part of Financial Management for IT services deals with predicting and controlling income

and expenditure within the organization?

a) Accounting

b) Budgeting

c) Cost models

d) Charging

20. What is the PRIMARY process for strategic communication with the service provider's customers?

a) Service catalogue management

b) Service portfolio management

c) Service desk

d) Business relationship management

21. Which of these recommendations are best practice for service level agreements?

1. Include legal terminology in service level agreements (SLAs)

2. Ensure all the targets in an SLA are measurable.

3. Ensure the SLA is signed by both customer and provider

4. Include the service hours and cost of delivering the service

a) 1 and 2

b) 2 and 3

c) 3 and 4

d) 1 and 4








22. Which is the BEST description of a service-based service level agreement (SLA)?

a) An agreement with an individual customer group, covering all the services that they use

b) An agreement that covers one service for a single customer

c) An agreement that covers service-specific issues in a multi-level SLA structure

d) An agreement that covers one service for all customers of that service

23. Which is NOT a responsibility of service catalogue management?

a) Ensuring that information about live IT services is accurate

b) Ensuring that service level agreements are maintained

c) Ensuring that information in the service catalogue is consistent with the service portfolio

d) Ensuring that all operational services are recorded in the service catalogue

24. Which is NOT an objective of supplier management?

a) Maintaining the supplier policy

b) Supplier categorization and risk assessment

c) Maintaining the service knowledge management system

d) Identifying opportunities for the continual service improvement register








25. Which process has the objective: “To ensure all service models conform to strategic, architectural,

governance, and other corporate requirements”?

a) Service portfolio management

b) Design coordination

c) Service level management

d) Change management

26. Which statement about the emergency change advisory board (ECAB) is CORRECT?

a) The ECAB considers every high priority request for change

b) The review of completed emergency changes is one of the duties of the ECAB

c) The ECAB will be used for emergency changes where there may not be time to call a full CAB

d) The ECAB will be used when a full CAB has a large backlog of changes

27. Who normally chairs a change advisory board (CAB)?

a) Change manager

b) Service owner

c) Change initiator

d) Business relationship manager








28. What is the second phase in release and deployment management?

a) Review and close

b) Authorize changes

c) Release build and test

d) Release and deployment planning

29. Which process has the objective: "to improve the quality of management decision making by

ensuring that reliable and secure information is available throughout the lifecycle"?

a) Knowledge management

b) Availability management

c) Service asset and configuration management


30. Which process helps to ensure that new or changed services are established in supported

environments within the predicted cost, quality and time estimates?

a) Financial management for IT Services

b) Capacity management

c) Transition planning and support









31. Which should be done when closing an incident?

1. Check the incident categorization and correct it if necessary

2. Check that the user is satisfied with the outcome

3. Record a known error record with the resolution

4. Perform an incident review for lessons learned

a) 1 and 2

b) 2 and 3

c) 3 and 4

d) 1 and 4

32. Which BEST describes hierarchic escalation?

a) Notifying more senior levels of management about an incident

b) Passing an incident to people with a greater level of technical skill

c) Using more senior specialists than necessary to resolve an incident to maintain customer

satisfaction

d) Failing to meet the incident resolution times specified in a service level agreement

33. A significant, unresolved problem is likely to cause major business disruption. Where is this MOST

LIKELY to be escalated to?

a) IT service continuity management

b) Availability management

c) Incident management









34. Which process will regularly analyze incident data to identify discernable trends?

a) Service level management

b) Problem management

c) Change management

d) Event management

35. Which is the BEST description of a service request?

a) A request from a user for information, advice or for a standard change

b) Anything that the customer wants and is prepared to pay for

c) Any request or demand that is entered by a user via a self-help web-based interface

d) Any request for change (RFC) that is low-risk and which can be approved by the change

manager without a change advisory board (CAB) meeting

36. Which service desk organizational structure is NOT described in ‘Service Operation’?

a) Local service desk

b) IT help desk

c) Virtual service desk

d) Follow the sun








37. Which function or process would provide staff to monitor events in an operations bridge?

a) Technical management

b) IT operations management

c) Request fulfilment

d) Applications management

38. What is a process owner NOT responsible for?

a) Defining the process strategy

b) Communication of process information or changes to ensure awareness

c) Developing IT plans that meet and continue to meet the IT requirements of the business

d) Identifying improvement opportunities for inclusion in the CSI register

39. What is the role of a person if they are categorized as "I" in a RACI matrix?

a) They are accountable for the outcome of the activity

b) They must perform an activity

c) They must be kept up to date on the progress of an activity

d) They manage an activity








40. Which of these can be introduced to provide; improved detection and monitoring, pattern recognition

analysis and service optimization?

a) Service automation

b) The DIKW structure

c) Demand management

d) Standard changes

END OF EXAMINATION





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Sample Paper C Answers and rationale







For Exam Paper: ITIL_FND_EN_SamplePaperC

Q A Syllabus Ref

Book Ref Rationale

1 B FND01-1 SS 2.1.7 Best practices in the public domain

Technology (answer B) is an enabler of best practice, not a source of best practice. Standards (answer A), academic research (answer C) and internal experience (answer D) are all sources of best practice.

2 C FND01-2 SS 1.4 Why is ITIL so successful?

The guidance states that the characteristics in answer C are what contribute to ITIL’s success: vendor neutral, non-prescriptive and best practice. The characteristics ‘prescriptive’ and ‘solution specific’ conflict with those that contribute to ITIL’s success. ‘Publically available’ is a characteristic of ITIL but is not paired with two other correct characteristics.

3 B FND01-4 SS 3.2.1.2 Internal & external customers

If there is a contract, the customer must be external as contracts are not needed when the customer is internal. For this reason, internal customers (answer D) is incorrect. Strategic customers (answer A) and valued customers (answer C) may be internal or external and so may, or may not, require a contract.

4 C FND01-10 SS 2.2.2 Processes

Functions are not part of a process, they carry out processes. The roles (answer A) involved in a process are always defined, even if these are only those of the process owner and process manager. No process could operate without inputs (answer B). Every process needs to be measured by metrics (answer D) to allow it to be managed effectively.

5 D FND02-2 SS 1 Introduction

Only options 1 and 4 are true. The ITIL complementary guidance includes many books, blogs and white papers which describe its interface with other operating models e.g. SIAM, COBIT, etc. It also includes books and papers pertaining to specific industry sectors e.g. government, finance, etc. Developing application interfaces and IT recruitment would be more specific to software development and HR practices and methodologies than being complimentary to ITIL.

6 B FND02-7 ST 1.1.1 Purpose and objectives of service transition

A number of service transition processes e.g. change management, help to ensure that service changes create the expected business value. The other answers are incorrect because they are objectives of processes in other lifecycle stages. Answer A is an objective of service level management. Answer C is more an objective of service operation and answer D belongs to service catalogue management.

7 B FND02-9 SO 1.1.1 Purpose and objectives of service operation

As part of service operation, incident and problem management can help to minimize outages. The other answers are incorrect because they are not involved in the day-to-day running of the service: service design (answer A) creates the blueprint for the service, service transition (answer D) ensures the service moves into the live environment, and continual service improvement (answer C) helps the organization to identify areas for improvement in terms of the service’s overall effectiveness and efficiency.

8 D FND03-4 SS 4.2.4.5 Service catalogue

The service portfolio comprises the service catalogue (visible to customers) and the service pipeline and retired services (not visible to customers).






All rights reserved. EN_ITIL_FND_2011_Rationale_Sample_PaperC_V2.1

structure Answer A is incorrect as the service catalogue sets out the description of a service not the activities that need to be carried out. Answer B is incorrect as the service catalogue is used as a basis for creating SLAs, however they are not listed within the catalogue. Answer C is incorrect as the service catalogue contains the services provided, and not the services required.

9 B FND03-5 SS 2.3.1 Governance

Answer B is correct as Governance is solely concerned with policy and direction for the organization. Though it could be argued that the other options do have policies and set direction, but these are NOT their primary focus and they will all be driven by organizational governance standards.

10 A FND03-12 SD 4.3.4 Policies, principles and basic concepts

An OLA is an agreement between an IT service provider and another part of the same organization that assists with the provision of services. Answer B describes a contract. Answer C describes information that would be found in an SLA. The description of business services in answer D is likely to be found in the service catalogue.

11 A FND03-31 SO 4.4.5.7 Raising a known error record

(NB. This question concerns a ‘known error record’, not a ‘known error’.) In some cases it may be advantageous to raise a known error record even earlier in the overall process, even though the diagnosis may not be complete or a workaround found. This might be used for information purposes or to identify a root cause or workaround that appears to address the problem but hasn’t been fully confirmed. Answer B is incorrect because although known error records can be created from external sources before a problem is logged, this is not always the case. Answer C is incorrect as a known error record would not be created from an incident record. Answer D is incorrect as the next release of the service may introduce a fix for the known error, making it redundant.

12 A FND03-37 ST 4.2.4.6 Change proposals

A change proposal would be used where a major cost and/or risk is involved, often requiring approval from senior customer and service provider representatives. A change policy (answer B) defines when change proposals or requests should be raised. A service request (answer C) is raised for more minor levels of change, with known risks and costs. A risk register (answer D) records the nature and level of risk of events that may affect the service (that, if they occur, may necessitate changes).

13 B FND03-41 SS 2.1.5 Stakeholders in service management

The customer agrees the service targets with the service provider through the SLA. Supplier (answer C) agreements are laid down in contracts. The user (answer A) of a service may not necessarily be the customer. In this case the customer would agree the targets for the service that the user will receive. The service desk staff (answer D) might be involved in reporting on targets but not in agreeing them.







14 A FND04-2 SS 3.2.3.1 Creating value

The correct answer is A, value is always determined by the customer. This is because the customer’s perception influences how value is measured. This is not only measured in financial terms. It is not always related to the cost of a service, or the advertised features offered.

15 C FND04-3 SD 3.1.5 Comprehensive and integrated service design Fig 3.3

The correct answer is C, services and technology are examples of PRODUCTS, not partners or processes. Performance is not one of the 4 P’s.

16 B FND04-4 SD 3.1.1 Holistic service design

The key to the answer is the holistic nature of service design and the desire to achieve the results and create the value defined in service strategy. The other three answers are all areas that service design is concerned with, but they are not the MAIN reason.

17 D FND04-9 CSI 3.1.1 Business questions for CSI

Answer D describes the complete continual service improvement approach. Answer B misses two of the steps of the approach and terms are incorrect. Answer A describes the service lifecycle, not steps in CSI. Answer C is closer to describing the Deming Cycle of ‘plan, do, check, act’, and again are not recognized steps in the CSI approach.

18 C FND04-10

CSI 5.5 Metric Technology, process and service are the three types of metrics that support CSI activities, as stated in the CSI publication.

19 B FND05-22

SS 4.3.2 Scope Budgeting involves looking into the future to predict expenditure and income. Accounting (answer A) is the process of recording and accounting for spending. Cost models (answer C) are used to calculate the cost of providing services. Charging (answer D) is the process through which costs can be recovered from customers.

20 D FND05-23

SS 4.5.1 Purpose & objectives

Business relationship management covers communication at a strategic level. Service desk (answer C) is not a process, even though it provides service level data for reporting. Although the outputs of service portfolio management (answer B) and service catalogue management (answer A) are used in communication with the customer, they are not the process responsible for it.

21 B FND05-31

SD 4.3.5.1 Designing SLA frameworks

B is the CORRECT answer. Option 1 (incorrect) - Legal terminology may be included if the SLA is part of a contract, however if the document is not legally binding, legal terminology is not necessary. Option 2 (correct) - All SLA targets must be measurable to prevent disagreements over whether they have been met. Option 3 (correct) - Both customer and provider must sign to show that they agree to their responsibilities as outlined in the SLA. Option 4 (correct) - The price of the service may be included but the cost of delivering the service will not be included.







22 D FND05-31 SD 4.3.5.1 Designing SLA frameworks

A service-based SLA describes the agreed level of service for a particular service, which may be provided to a number of customers. Answer A describes a customer-based SLA where a single customer has an SLA for multiple services. Answer B is half right because it covers a single service but still incorrect as it fails to identify multiple customers. Answer C describes one of the levels (the service level) of a multi-level SLA.

23 B FND05-41 SD 4.2.1 Purpose & objectives

Answer B is correct as it identifies a responsibility of service level management NOT service catalogue management. The accuracy of the catalogue (answer A), consistency with the other elements of the service portfolio (answer C) and completeness of the service catalogue (answer D) are all incorrect because they are elements of service catalogue management.

24 C FND05-44 SD 4.8.1 & 4.8.2 Purpose & objectives

The correct answer is C. Supplier management maintains the SCMIS, not the SKMS. The other options are valid objectives of the supplier management process.

25 B FND05-47 SD 4.1.1 Purpose & objectives

The correct answer is B) Design coordination. Ensuring that the service model designs conform to requirements, including strategic, architectural, governance and corporate, is a stated objective of design coordination. Answer A – Service transition planning and support would have the objective of ensuring the implementation of an approved design (one that conformed to requirements) through the service design package was transitioned into operation. Answer C – Service level management would be concerned with establishing the relevant service performance targets and then tracking the model’s conformance to service levels, once in operation. Answer D Change management would be concerned with implementing any changes to the service model and its initial implementation as part of the service transition stage of the lifecycle.

26 C FND05-51 ST 4.2.5.11 Emergency changes

ITIL guidance states that the full CAB is the best body to consider a change. The ECAB will substitute if this proves logistically impossible. Answer A is incorrect as the CAB will consider some of the high priority changes where time allows to bring it together. Answer B is incorrect as the review of changes is the role of the full CAB. Answer D is incorrect an ECAB would not be used to alleviate a backlog of changes.

27 A FND05-51 ST 4.2.5.10 Change advisory board

The change manager normally chairs the CAB. It is likely that the other three may attend the CAB to either contribute or take away information.

28 C FND05-61 ST 4.4.5 Process activities, methods and techniques

‘Release build and test’ follows release and deployment planning (answer D) as the second phase. ‘Review and close’ (answer A) is the fourth and final stage. ‘Change authorization’ (answer B) is a change management activity and outside of the scope of release and deployment management.

29 A FND05-62 ST 4.7.1 Purpose &

Even though knowledge management is a process within service transition, it is described as a whole lifecycle process ensuring







objectives that reliable and secure knowledge, information and data is available and current throughout the five stages.

30 C FND05-64 ST 4.1.2 Scope

Transition planning and support acts like the glue binding together the service transition stage. It would therefore be responsible for the planning and coordinating the resources required for service transitions.

31 A FND05-71 SO 4.2.5.9 Process activities, methods and techniques

Options 1 and 2 are correct. The closing category of an incident should be checked as it is the raw data that can be used for many purposes, e.g. to help problem management identify trends of recurring incidents. The user must also be satisfied with the outcome as they are the people affected. This is very often done by a service desk contacting them to confirm closure.

32 A FND05-71 SO 4.2.5.6 Incident escalation

Hierarchic escalation takes place if a higher level authority needs to be informed and/or make a decision, often to focus attention on an incident resolution. Answers B and C describe functional escalation but not escalation up the hierarchy of the organization. Answer D is a reason that hierarchic escalation may be carried out, but it is not a description of it.

33 A FND05-72 SO 4.4.6.4 Interfaces

If business disruption is likely, then continuity management must assess the situation and decide how to act. Availability management (answer B) is more focused on design activity. Incident management (answer C) will likely have dealt with the original incident(s) that led to the problem being raised. Change management (answer D) will only be involved when a proposed fix needs to be authorized.

34 B FND05-72 SO 4.4.2 Scope

Proactive problem management involves analysing data, looking for trends and raising problems as a result. Service level management (answer A) may contribute but will not analyse low level incident data. Change management (answer C) does not analyse incident data for trends. Event management (answer D) will look for trends but in event data.

35 A FND05-82 SO 4.3.2 Scope

‘How to’ questions and standard changes are good examples of service requests. Answer B is too broad as it covers major changes and projects as well. Answer C has some truth because self-help, web-based tools are often used for service requests, however this is not the only way to submit a request and so is not the BEST description. Answer D describes a change not service request.







36 B FND06-1 SO 6.3.3 Service desk organizational structure

A local service desk (answer A) serves users in the same location. A virtual service desk (answer C) may be in multiple locations but appears as if it were one desk to the customer. Follow the sun (answer D) is a service desk model where control switches depending on the time of the day. The IT help desk (answer B) is not described in ITIL publications as an organizational structure.

37 B FND06-2 SO 6.5.1 Operations management role

IT operations control, as part of IT operations management, will provide the staff for the operations bridge (this is a front line monitoring role in a data centre or network operations centre). Request fulfilment (answer C) is a process as so cannot provide staff, Technical and applications management (answers A and D) will work outside of the operation bridge area.

38 C FND07-1 SD 6.3.2 Generic process owner role

The process owner will define the process strategy (answer A), make sure those who are involved know about it (answer B) and help to identify improvement (answer D). What they are NOT responsible for are IT plans to meet business need.

39 C FND07-2 SD 3.7.4.1 Designing roles – the RACI model

‘I’ stands for ‘informed’ in the RACI matrix, i.e. kept up to date. ‘A’ in RACI is ‘accountable’ (answer A). ‘R’ is ‘responsible’, which is performing and managing the activity (Answers B and D)

40 A FND08-2 SS 7.1 Service Automation

Service automation benefits the following areas of service management: Design and modelling Service catalogue Pattern recognition analysis Classification, prioritization and routing Detection, monitoring and optimization The DIKW structure (answer B) relates to knowledge management, (answer C) demand management would improve pattern recognition and optimization but not detection (answer D) are designed to improve the efficiency and effectiveness of low impact, routine changes.



Page 425




Sample Paper 2



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1 EN_ITIL_FND_2011_SamplePaperD_V2.1


Sample Paper D Question Booklet

Multiple Choice

Exam Duration: 60 minutes

Instructions

1. You should attempt all 40 questions. Each question is worth one mark.

2. Mark your answers on the answer sheet provided. Use a pencil (NOT ink pen).

3. There is only one correct answer per question.

4. You have 60 minutes to complete this paper.

5. You must achieve 26 or more out of a possible 40 marks (65%) to pass this

examination.








1. Which of the following examples is a source of best practice?

a) A hardware supplier

b) A service management tool

c) ISO / IEC 20000

d) A consultancy organization

2. Which is the CORRECT explanation of how a service facilitates an outcome?

a) By enhancing the performance of associated tasks and reducing the effect of constraints

b) By comparing service value with service cost to ensure there is an equal ratio

c) By ensuring data is translated directly into wisdom allowing better business decisions to be

made

d) By allowing the achievement of contractual obligations and avoiding financial penalties

3. What ITIL term is used for customers of IT services who do NOT work in the same organization

as the service provider?

a) Strategic customers

b) External customers

c) Valued customers

d) Internal customers








4. What should be defined for every process?

a) The process owner, process policy and set of process activities

b) The service owner, service level agreement and set of process procedures

c) The policy owner, operational level agreement and set of process steps

d) The service manager, service contract and set of work instructions

5. All of the stages of the ITIL lifecycle have a role to play in ensuring the delivery of high quality IT

services at optimum cost.

Which of these has the BEST opportunity to prevent difficulties as early as possible and minimize

the cost of any remedial work?

a) Service transition

b) Continual service improvement (CSI)

c) Service design

d) Service operation

6. Which is NOT part of the service transition stage of the service lifecycle?

a) Successfully deploying service releases into supported environments

b) Designing and developing capabilities for service management

c) Ensuring that service changes create the expected business value

d) Planning the resources required to manage a release








7. Which is an objective of service operation?

a) To coordinate and carry out the activities and processes required to deliver services to the

business and manage them at agreed levels

b) To successfully release services into a live or supported environment

c) To identify opportunities to provide services and exploit them

d) To define the capability required to deliver the IT strategy

8. Which is the BEST description of a business case?

a) A decision support and planning tool that details the likely consequences of a business action

b) A document that details the terms of a service for particular customers in the same company

c) A complaint by the business about a missed service level

d) The terms and conditions in an IT outsource contract

9. Which of these statements about service asset and configuration management is CORRECT?

1. A configuration item (CI) can be a component part of one or more other CIs

2. How an organization groups components into configuration items will depend on the level of

control they wish to exert

3. A single configuration management database (CMDB) is the objective for an organization

4. All CMDB audits should be conducted by external auditors using a CMDB standard

a) 1 and 2

b) 2 and 3

c) 3 and 4

d) 1 and 4








10. Which BEST defines availability?

a) How quickly a service or component can be restored after failure

b) The ability of a third party supplier to meet the terms of its contract

c) The ability of a service desk to restore service to configuration items (CIs) and infrastructure

components

d) The ability of a service, component or CI to perform its agreed function when required

11. The definitive media library is the responsibility of:

a) Facilities management

b) Access management


d) Service asset and configuration management

12. ‘A cause of one or more incidents’ is the ITIL definition of which of these terms?

a) A known error

b) A workaround

c) A problem

d) A root cause








13. Where would all the possible service improvement opportunities be recorded?

a) CSI register

b) Known error database

c) Capacity management information system

d) Configuration management database

14. Which is NOT a defined area of value?

a) Customer preferences

b) Business policies

c) Customer perceptions

d) Business outcomes

15. An Internal IT department would be considered which one of the ‘four Ps’ of service design?

a) Provider

b) People

c) Partner

d) Performer








16. Which do technology metrics measure?

a) Components

b) Processes

c) The end-to-end service

d) Customer satisfaction

17. What is the next step in the continual service improvement (CSI) approach:

1. What is the vision?

2. Where are we now?

3. Where do we want to be?

4. How do we get there?

5. Did we get there?

6. ?

a) What is the return on investment (ROI)?

b) How much did it cost?

c) How do we keep the momentum going?

d) What is the value on investment (VOI)?

18. Which do service metrics measure?

a) Functions

b) Maturity and cost

c) The end-to-end service

d) Infrastructure availability








19. In which document would you expect to see an overview of actual service achievements against

targets?

a) Operational level agreement (OLA)

b) Capacity plan

c) Service level agreement (SLA)

d) SLA monitoring (SLAM) chart

20. Where should a customer’s initial service targets be recorded before the service level agreement

(SLA) is produced?

a) In an operational level agreement (OLA)

b) In a list of service level requirements (SLR)

c) In the service catalogue

d) In the configuration management database (CMDB)

21. The remediation plan should be evaluated at what point in the change lifecycle?

a) Before the change is approved

b) Immediately after the change has failed and needs to be backed out

c) After implementation but before the post implementation review

d) After the post implementation review has identified a problem with the change








22. Which of the following lists shows change types defined in ITIL?

a) Strategic, emergency and normal

b) Strategic, urgent and emergency

c) Standard, urgent and normal

d) Standard, emergency and normal

23. Which is the BEST reason for categorizing incidents?

a) To identify trends for use in problem management and other IT service management activities

b) To ensure service levels are met and breaches of agreements are avoided

c) To enable the incident management database to be partitioned for greater efficiency

d) To identify whether the user is entitled to log an incident for this particular service

24. What should be documented in an incident model?

1. Chronological order of steps to resolve the incident

2. Details of the service level agreement (SLA) targets and reliability

3. Details of agreed service continuity requirements

4. Escalation procedures for who should be contacted and when

a) 1 and 2

b) 2 and 3

c) 3 and 4

d) 1 and 4








25. Which process is responsible for eliminating recurring incidents and minimizing the impact of

incidents that cannot be prevented?


b) Problem management

c) Change management

d) Event management

26. With which process is problem management likely to share categorization and impact coding

systems?

a) Incident management

b) Service asset and configuration management

c) Capacity management

d) IT service continuity management

27. Which process includes ‘facilitating good stewardship of service and customer assets’ as an

objective?


b) Financial management for IT services

c) Change evaluation

d) Service catalogue management








28. Which process is responsible for recording the current details, status, interfaces and

dependencies of all live services and services that are about to be implemented?


b) Service catalogue management

c) Demand management

d) Service transition

29. Which process includes business, service and component sub-processes?

a) Capacity management

b) Incident management

c) Service level management

d) Financial management

30. Which service design process would ensure that utility and warranty requirements are properly

addressed in all service designs?

a) Availability management

b) Capacity management

c) Design coordination

d) Release and deployment management








31. Which process is responsible for ensuring that appropriate testing takes place?

a) Knowledge management

b) Release and deployment management

c) Service asset and configuration management

d) Service level management

32. Which term describes the experiences, ideas, insights and values of individuals?

a) Data

b) Information

c) Knowledge

d) Governance

33. What is the purpose of transition planning and support?

a) Provide overall planning for service transitions and coordinate the resources they require

b) Ensure that all service transitions are properly authorized

c) Provide the resources to allow all infrastructure elements of a service transition to be

recorded and tracked

d) To define testing scripts to ensure service transitions are unlikely to ever fail








34. Which would NOT involve event management?

a) Intrusion detection

b) Recording and monitoring environmental conditions in the data centre

c) Recording service desk staff absence

d) Monitoring the status of configuration items

35. Which process is responsible for dealing with complaints, comments, and general enquiries from

users?


b) Service portfolio management


d) Demand management

36. Which is the BEST description of a centralized service desk?

a) The desk is co-located within or physically close to the user community it serves

b) The desk uses technology and other support tools to give the impression that multiple desk

locations are in one place

c) The desk provides 24 hour global support

d) There is a single desk in one location serving the whole organization








37. Which is an objective of application management?

a) Defining where the vendor of an application should be located

b) Ensuring that the required functionality is available to achieve the required business outcome

c) Evaluating the patterns of business activity by types of users

d) Agreeing the service levels for the service supported by the application

38. Which statement about a service owner is INCORRECT?

a) Carries out the day-to-day monitoring and operation of the service they own

b) Contributes to continual improvement affecting the service they own

c) Is a stakeholder in all of the IT processes which support the service they own

d) Is accountable for a specific service within an organization

39. Which rule should be followed when defining a RACI authority matrix?

a) More than one person is accountable

b) At least one person is consulted

c) Only one person is accountable

d) Only one person is responsible








40. Which does NOT benefit from service automation?

a) Monitoring

b) Wisdom

c) Pattern recognition

d) Prioritization

END OF EXAMINATION






EN_ITIL_FND_2011_SamplePaperD_Rationale_ V2.1


Sample Paper D Answers and rationale







2 EN_ITIL_FND_2011_Rationale_SamplePaperD_V2.1

For exam paper: ITIL_FND_2011_EN_SamplePaperD

Q A Syllabus Ref

Book Ref

Rationale

1 C FND01-1 SS 2.1.7 Best practice in the public domain, Figure 2.3, Sources of service management best practice

Suppliers (answer A), Toolsets (answer B) and Consultants (answer D) are enablers of best practice. ISO / IEC 20000 as a standard is a source of best practice.

2 A FND01-3 SS 2.1.1 Services “Definitions”

Answer A is the ITIL guidance explanation of how outcomes are facilitated. Answer B is incorrect. An equal ratio is not always an objective, let alone the means to facilitate an outcome of a service. Answer C is incorrect. Wisdom does indeed allow better business decisions but this is not derived directly from data nor is it the deliverable from a service. Answer D is incorrect. This statement is false and not accurate about services or facilitating outcomes.

3 B FND01-4 SS 3.2.1.2 Internal and external customers

The fact that the customer belongs to a different organization to the service provider makes them an external customer. Internal customers (answer D) belong to the same organization as the service provider. Strategic and valued customers (answers A and C) may, or may not, belong to other organizations.

4 A FND01-10 SS 2.2.2 Processes, Figure 2.5

The process must have an owner to ensure it is followed, a policy to guide its activities and the detailed activities themselves. In answer B, the ‘service owner’ pertains to a service as a whole, not a particular process that may support it. Also an SLA is not required for every process. In answer C, a process does not necessitate an OLA in every instance. In answer D, again ‘service manager’ and ‘service contract’ do not pertain one particular process. Only the work instructions might be documented.

5 C FND02-5 SD 1.1.1 Purpose and objective of service design, 1.1.2 Scope

Chronologically, service design comes first so has the first opportunity to get things off to a good start with a good design and to pick up any potential difficulties or costs earliest.

6 B FND02-7 ST 1.1.1 Purpose and objective of service transition

Answer B relates to service design, not service transition, so this is the correct answer. Answers A, C and D indeed relate to service transition objectives and what needs to happen during the service transition lifecycle stage.








7 A FND02-9 SO 1.1.1 Purpose and objectives of service operation

Answer A is a purpose of service operation. Service operation manages the services at agreed levels through its processes and functions. Answer B is an objective of service transition and both options C and D are objectives of service strategy.

8 A FND03-6 SS 3.6.1.1 Business case

A business case will contain costs, benefits and risks that will allow an organization to make an informed decision on the viability of an action. Answer B describes a service level agreement or a contract. Answer C describes a concern which may be raised in a service review meeting. Answer D describes something that might be assessed in a business case but not the case itself.

9 A FND03-17 ST 4.3.4.2 Basic concepts -service assets, configuration items, configuration records, the CMS and the SKMS

Statement 1 is correct. A CI may be part of another CI e.g. a monitor may be a CI and part of a PC configuration item. Statement 2 is also true. For example, the level of detail an organization chooses to record about its hardware may be dictated by the level of control required by industry regulation. Statement 3 is incorrect as multiple CMDB’s are perfectly acceptable practice. Statement 4 is also incorrect as CMDB audits can be conducted using internal resources and often using automated tools.

10 D FND03-15 SD 4.4.4.3 Aspects of availability

This is the ITIL book definition. Answer A describes an element of maintainability. Answer B is serviceability. Answer C just focuses on the service desk and technology, not services.

11 D FND03-19 ST 4.3.4.4 Asset management

The definitive media library (DML) is the secure logical library in which the definitive authorized versions of all media CIs are stored and protected. It is the responsibility of service asset and configuration management. The other three answers may involve the DML but are not responsible for it: Facilities management (answer A) may be responsible for a fireproof safe for the physical storage of the media; Access management (answer B) may be involved in granting rights to use the DML; Request fulfilment (answer C) might be the route to accessing the components in the DML for users and customers.

12 C FND03-29 SO 4.4 Problem management

This is the ITIL book definition.

13 A FND03-38 CSI 3.4 CSI Register

The CSI register contains all improvement opportunities to be considered. The known error database (answer B), as indicated by the name, contains known errors. The capacity management information system (answer C) contains the business, service and component data to allow the capacity management process to function. The CMDB (answer D) contains CI information.








14 B FND04-02 SS 3.2.3 Value, 3.2.3.1 Creating value, Figure 3.6 Components of value

Business policies are not a defined area of value. Value is defined by customer preferences (answer A) i.e. what they want, customer perceptions (answer C) i.e. if they think it is valuable, and by delivering on outcomes (answer D) i.e. it enables them to complete their task.

15 B FND04-03 SD 3.1.5 Comprehensive and integrated service design, Figure 3.3 The four Ps

The balance of service design is achieved through the balance of people, process, products and partners. Answer B is correct. ‘People’ of the four Ps refer to those within the organization and describe internal IT departments Answer C ‘Partners’ refers to external providers such as suppliers, manufacturer or vendors within the structure of the four Ps. Answers A and D are not one of the four Ps

16 A FND04-10 CS 5.5 Metrics

Three categories of metric used in CSI are: technology, process and service metrics. Components are measured by technology metrics, so answer A is correct. Processes (answer B) are measured by process metrics. End-to-end service (answer C) is measured by service metrics. Customer satisfaction does not fit into any of the three categories.

17 C FND04-9 CSI 3.1 Figure 3.1 Continual service improvement approach

The final stage of the process is ‘How do we keep the momentum going?’, as defined in the CSI approach.

18 C FND04-10 CSI 5.5 Metrics

Service metrics measure elements which cover the total end-to-end service. The performance of a function (answer A) might be measured through compliance to a process or other process success metrics. Maturity (answer B) is a process metric. Infrastructure availability (answer D) is a technology metric.

19 D FND05-31 SD 4.3.5.5 Producing service reports

The SLAM chart shows progress against service targets, in a simple, pictorial form. An OLA (answer A) details internal operational targets and an SLA (answer C) details service targets. Neither of these documents compare them with progress. A capacity plan (answer B) shows the future needs and plans for capacity within the organization.

20 B FND05-31 SD 4.3.5.2 Determining, documenting and agreeing requirements for new services and producing SLRs

Service level requirements (SLR) describe the customer’s actual needs for the service, which can be verified by the service provider and perhaps amended by negotiation before arriving at a signed SLA. An OLA (answer A) details the internal supporting targets for the SLA. The service catalogue (answer C) would be used as the basis to start the discussion of service level requirements. The CMDB (answer D) is not used as part of this process.








21 A FND05-51 ST 4.2.4.8 Remediation planning

The remediation plan allows the service provider to recover a service or have an alternative should a change fail. It must be evaluated BEFORE the change is approved. After the change has failed (answer B) is a bad time to find out that you cannot do anything about it! Answers C and D are equally poor from a timing perspective, being AFTER the change has taken place.

22 D FND05-51 ST 4.2.5.10 Change advisory board, CAB meetings

Answer D is correct because it lists the three types of change defined in ITIL: standard change - a pre-authorised change which is low risk, relatively common and follows a process or work instruction; emergency change - a change that must be implemented as soon as possible, e.g. to resolve a major incident; normal change - any service change that is not a standard or emergency change. Answers A, B and C are incorrect because strategic and urgent are NOT ITIL defined change types.

23 A FND05-71 SO 4.2.5.3 Incident categorization

The reason we categorize anything (incidents included) is to make management easier. Spotting recurring incidents by category will facilitate the identification of problems. Simply categorizing an incident does not make it certain that the SLA will not be breached (answer B). The partitioning of the incident management database (answer C) is not a consideration when deciding on incident categories. Categorization could, in some circumstances, be used to decide if a user can log an incident (answer D) but the question asks for the BEST reason.

24 D FND05-71 SO 4.2.4.2 Incident models

Statements 1 and 4 are part of an incident model. The incident model tells us how to deal with the type of incident and this would be described in chronological order. Escalation procedures are a logical part of this. Statement 2 is impractical as multiple SLA targets and the reliability of the service are not directly related to the pre-defined steps to handle the incident process in an agreed way. Statement 3 would be part of an IT service continuity plan.

25 B FND05-72 SO 4.4.1.2 Problem management objectives

This is an objective of problem management.

26 A FND05-72 SO 4.4.2 Problem management scope

Problem management shares categorization and impact codes with incident management. This makes matching incidents to problems and known errors a much easier task. Problem management will make use of the CMDB (answer B) in its process but not share categories with service asset and configuration management. Capacity management (answer C) will share data with problem management but not codes / categories. ITSCM (answer D) might share information for risk assessment (including impact codes) with problem management but it is highly unlikely that they will share categories.

27 B FND05-22 SS 4.3.1 Purpose and objectives

Financial management for IT services shares this objective with service asset and configuration management. Service level management, Service catalogue management and Change evaluation have different purposes and objectives.








28 B FND05-41 SD 4.2.1 Purpose and objectives

The service catalogue will record current details of live (and soon to be implemented) services, including their interfaces and dependencies. Service level management (answer A) uses the catalogue to understand the dependencies. Demand management (answer C) and service transition (answer D) will use the catalogue but do not record details in it.

29 A FND05-45 SD 4.5.4.3 Capacity management sub-processes

These are the three sub-processes of capacity management.

30 C FND05-47 SD 4.1.2 Design coordination scope

Design coordination is responsible for addressing the requirements of both utility (fitness for purpose) and warranty (fitness for use). Availability (answer A) and capacity (answer B) are both concerned with warranty only. Release and deployment (answer D) is a service transition, not design process.

31 B FND05-61 ST 4.4.5 Release and deployment management, Process activities, methods and techniques

‘Build and test’ is the second phase of the release and deployment process. The other processes have only minor involvement in testing.

32 C FND05-62 ST 4.7.4.2 Data-to-information-to-knowledge-to wisdom

The question uses the characteristics of the knowledge piece of DIKW within knowledge management. Data (answer A) becomes more valuable once it is processed into information (answer B). This information becomes the basis for knowledge. Governance (answer D) concerns policy and control and is not part of knowledge management.

33 A FND05-64 ST 4.1.1 Transition planning and support, Purpose and objectives

Transition planning and support carries out a kind of project management role within service transition, ensuring that planning and resource coordination are in scope. Answer B describes the role of change management. Recording and tracking (answer C) is done by service asset and configuration management whilst test scripts (answer D) are part of release and deployment management.

34 C FND05-81 SO 4.1.1 Event management Purpose and objectives

Service desk staff absence would be recorded via an HR system, outside of the scope of ITIL. All other areas could be monitored under the event management process.








35 C FND05-82 SO 4.3.1.2 Request fulfilment objectives

Complaints, compliments and general enquiries come under the request fulfilment process handled almost exclusively by the service desk. Service level management (answer A) may deal with complaints but at a customer level and would not usually entertain general enquiries. Such interactions are outside of the scope of service portfolio management (answer B) and demand management (answer D).

36 D FND06-1 SO 6.3.3.2 Centralized service desk, Figure 6.3 Centralized service desk

A single centralized service desk supports the whole organization. Answer A describes a local service desk. Answer B is a virtual service desk and answer C describes a follow-the-sun model of service desk.

37 B FND06-2 SO 6.6.2 Application management objectives

B is the correct answer and is an objective of Application management. The location of an application vendor is likely to be defined and managed by supplier management. Patterns of business activity are part of demand management (answer C). Answer D is incorrect as agreeing service levels is the domain of service level management.

38 A FND07-1 SD 6.3.1 Generic service owner role

The service owner will be aware of the monitoring and operation of their service but may not be directly involved in the activity. The other three activities are all part of the role of service owner.

39 C FND07-2 SD 3.7.4.1 Designing roles – the RACI model

Only one person should be accountable for a process. This immediately makes answer A incorrect. Answer B is incorrect because it may be that nobody needs to be consulted e.g. logging a service desk call doesn’t need another person be consulted. Answer D is incorrect as multiple people may be responsible.

40 B FND08-2 SS 7.1 Service automation

Technology and automation can help to monitor (answer A), e.g. the free disk space on a server. Pattern recognition (answer C) can also be automated, e.g. spotting repeat incidents through the service desk toolset. Prioritization (answer D) can also be automated through a tool, e.g. when an incident is logged against a certain type of service. Wisdom (answer B) cannot be automated.



Page 449




Glossary and Acronyms



1

ITIL® glossary and abbreviations

English

This glossary may be freely downloaded. See www.itil-officialsite.com/InternationalActivities/TranslatedGlossaries.aspx for details of

licence terms.



2

AcknowledgementsWe would like to thank Ashley Hanna (HP) and Stuart Rance (HP) who produced the original ITIL glossary in English in May 2007, and to Ashley Hanna who updated it in July 2011.

Thanks are also due to all those that contributed to the 2007 and 2011 editions of the ITIL core guidance. For a full list of acknowledgements, please visit: www.itil-officialsite.com/Publications/PublicationAcknowledgements.aspx


Quint Wellington RedwoodD a r e t o C h a l l e n g e3

Glossary terms and definitions

Term Definition

acceptance Formal agreement that an IT service, process, plan or other deliverable is complete, accurate, reliable and meets its specified requirements. Acceptance is usually preceded by change evaluation or testing and is often required before proceeding to the next stage of a project or process. See also service acceptance criteria.

access management (ITIL Service Operation) The process responsible for allowing users to make use of IT services, data or other assets. Access management helps to protect the confidentiality, integrity and availability of assets by ensuring that only authorized users are able to access or modify them. Access management implements the policies of information security management and is sometimes referred to as rights management or identity management.

account manager (ITIL Service Strategy) A role that is very similar to that of the business relationship manager, but includes more commercial aspects. Most commonly used by Type III service providers when dealing with external customers.

accounting (ITIL Service Strategy) The process responsible for identifying the actual costs of delivering IT services, comparing these with budgeted costs, and managing variance from the budget.

accounting period (ITIL Service Strategy) A period of time (usually one year) for which budgets, charges, depreciation and other financial calculations are made. See also financial year.

accredited Officially authorized to carry out a role. For example, an accredited body may be authorized to provide training or to conduct audits.



4

Term Definition

active monitoring (ITIL Service Operation) Monitoring of a configuration item or an IT service that uses automated regular checks to discover the current status. See also passive monitoring.

activity A set of actions designed to achieve a particular result. Activities are usually defined as part of processes or plans, and are documented in procedures.

agreed service time (AST) (ITIL Service Design) A synonym for service hours, commonly used in formal calculations of availability. See also downtime.

agreement A document that describes a formal understanding between two or more parties. An agreement is not legally binding, unless it forms part of a contract. See also operational level agreement; service level agreement.

alert (ITIL Service Operation) A notification that a threshold has been reached, something has changed, or a failure has occurred. Alerts are often created and managed by system management tools and are managed by the event management process.

analytical modelling (ITIL Continual Service Improvement) (ITIL Service Design) (ITIL Service Strategy) A technique that uses mathematical models to predict the behaviour of IT services or other configuration items. Analytical models are commonly used in capacity management and availability management. See also modelling; simulation modelling.

application Software that provides functions which are required by an IT service. Each application may be part of more than one IT service. An application runs on one or more servers or clients. See also application management; application portfolio.

application management (ITIL Service Operation) The function responsible for managing applications throughout their lifecycle.



5

Term Definition

application portfolio (ITIL Service Design) A database or structured document used to manage applications throughout their lifecycle. The application portfolio contains key attributes of all applications. The application portfolio is sometimes implemented as part of the service portfolio, or as part of the configuration management system.

application service provider (ASP) (ITIL Service Design) An external service provider that provides IT services using applications running at the service provider’s premises. Users access the applications by network connections to the service provider.

application sizing (ITIL Service Design) The activity responsible for understanding the resource requirements needed to support a new application, or a major change to an existing application. Application sizing helps to ensure that the IT service can meet its agreed service level targets for capacity and performance.

architecture (ITIL Service Design) The structure of a system or IT service, including the relationships of components to each other and to the environment they are in. Architecture also includes the standards and guidelines that guide the design and evolution of the system.

assembly (ITIL Service Transition) A configuration item that is made up of a number of other CIs. For example, a server CI may contain CIs for CPUs, disks, memory etc.; an IT service CI may contain many hardware, software and other CIs. See also build; component CI.

assessment Inspection and analysis to check whether a standard or set of guidelines is being followed, that records are accurate, or that efficiency and effectiveness targets are being met. See also audit.

asset (ITIL Service Strategy) Any resource or capability. The assets of a service provider include anything that could contribute to the delivery of a service. Assets can be one of the following types: management, organization, process, knowledge, people, information, applications, infrastructure or financial capital. See also customer asset; service asset; strategic asset.



6

Term Definition

asset management (ITIL Service Transition) A generic activity or process responsible for tracking and reporting the value and ownership of assets throughout their lifecycle. See also service asset and configuration management; fixed asset management; software asset management.

asset register (ITIL Service Transition) A list of fixed assets that includes their ownership and value. Seealso fixed asset management.

asset specificity (ITIL Service Strategy) One or more attributes of an asset that make it particularly useful for a given purpose. Asset specificity may limit the use of the asset for other purposes.

attribute (ITIL Service Transition) A piece of information about a configuration item. Examples are name, location, version number and cost. Attributes of CIs are recorded in a configuration management database (CMDB) and maintained as part of a configuration management system (CMS). See also relationship; configuration management system.

audit Formal inspection and verification to check whether a standard or set of guidelines is being followed, that records are accurate, or that efficiency and effectiveness targets are being met. An audit may be carried out by internal or external groups. See alsoassessment; certification.

authority matrix See RACI.

automatic call distribution (ACD) (ITIL Service Operation) Use of information technology to direct an incoming telephone call to the most appropriate person in the shortest possible time. ACD is sometimes called automated call distribution.



7

Term Definition

availability (ITIL Service Design) Ability of an IT service or other configuration item to perform its agreed function when required. Availability is determined by reliability, maintainability, serviceability, performance and security. Availability is usually calculated as a percentage. This calculation is often based on agreed service time and downtime. It is best practice to calculate availability of an IT service using measurements of the business output.

availability management (AM) (ITIL Service Design) The process responsible for ensuring that IT services meet the current and future availability needs of the business in a cost-effective and timely manner. Availability management defines, analyses, plans, measures and improves all aspects of the availability of IT services, and ensures that all IT infrastructures, processes, tools, roles etc. are appropriate for the agreed service level targets for availability. See also availability management information system.

availability management information system (AMIS)

(ITIL Service Design) A set of tools, data and information that is used to support availability management. See also service knowledge management system.

availability plan (ITIL Service Design) A plan to ensure that existing and future availability requirements for IT services can be provided cost-effectively.

back-out (ITIL Service Transition) An activity that restores a service or other configuration item to a previous baseline. Back-out is used as a form of remediation when a change or release is not successful.

backup (ITIL Service Design) (ITIL Service Operation) Copying data to protect against loss of integrity or availability of the original.



8

Term Definition

balanced scorecard (ITIL Continual Service Improvement) A management tool developed by Drs Robert Kaplan (Harvard Business School) and David Norton. A balanced scorecard enables a strategy to be broken down into key performance indicators. Performance against the KPIs is used to demonstrate how well the strategy is being achieved. A balanced scorecard has four major areas, each of which has a small number of KPIs. The same four areas are considered at different levels of detail throughout the organization.

baseline (ITIL Continual Service Improvement) (ITIL Service Transition) A snapshot that is used as a reference point. Many snapshots may be taken and recorded over time but only some will be used as baselines. For example:

An ITSM baseline can be used as a starting point to measure the effect of a service improvement plan

A performance baseline can be used to measure changes in performance over the lifetime of an IT service

A configuration baseline can be used as part of a back-out plan to enable the IT infrastructure to be restored to a known configuration if a change or release fails.

See also benchmark.

benchmark (ITIL Continual Service Improvement) (ITIL Service Transition) A baseline that is used to compare related data sets as part of a benchmarking exercise. For example, a recent snapshot of a process can be compared to a previous baseline of that process, or a current baseline can be compared to industry data or best practice. See also benchmarking; baseline.



9

Term Definition

benchmarking (ITIL Continual Service Improvement) The process responsible for comparing a benchmark with related data sets such as a more recent snapshot, industry data or best practice. The term is also used to mean creating a series of benchmarks over time, and comparing the results to measure progress or improvement. This process is not described in detail within the core ITIL publications.

Best Management Practice (BMP) The Best Management Practice portfolio is owned by the Cabinet Office, part of HM Government. Formerly owned by CCTA and then OGC, the BMP functions moved to the Cabinet Office in June 2010. The BMP portfolio includes guidance on IT service management and project, programme, risk, portfolio and value management. There is also a management maturity model as well as related glossaries of terms.

best practice Proven activities or processes that have been successfully used by multiple organizations. ITIL is an example of best practice.

billing (ITIL Service Strategy) Part of the charging process. Billing is the activity responsible for producing an invoice or a bill and recovering the money from customers. See also pricing.

brainstorming (ITIL Service Design) (ITIL Service Operation) A technique that helps a team to generate ideas. Ideas are not reviewed during the brainstorming session, but at a later stage. Brainstorming is often used by problem management to identify possible causes.

British Standards Institution (BSI) The UK national standards body, responsible for creating and maintaining British standards. See www.bsi-global.com for more information. See also International Organization for Standardization.

budget A list of all the money an organization or business unit plans to receive, and plans to pay out, over a specified period of time. Seealso budgeting; planning.



10

Term Definition

budgeting The activity of predicting and controlling the spending of money. Budgeting consists of a periodic negotiation cycle to set future budgets (usually annual) and the day-to-day monitoring and adjusting of current budgets.

build (ITIL Service Transition) The activity of assembling a number of configuration items to create part of an IT service. The term is also used to refer to a release that is authorized for distribution – for example, server build or laptop build. See alsoconfiguration baseline.

build environment (ITIL Service Transition) A controlled environment where applications, IT services and other builds are assembled prior to being moved into a test or live environment.

business (ITIL Service Strategy) An overall corporate entity or organization formed of a number of business units. In the context of ITSM, the term includes public sector and not-for-profit organizations, as well as companies. An IT service provider provides IT services to a customer within a business. The IT service provider may be part of the same business as its customer (internal service provider), or part of another business (external service provider).

business capacity management (ITIL Continual Service Improvement) (ITIL Service Design) In the context of ITSM, business capacity management is the sub-process of capacity management responsible for understanding future business requirements for use in the capacity plan. See also service capacity management; component capacity management.

business case (ITIL Service Strategy) Justification for a significant item of expenditure. The business case includes information about costs, benefits, options, issues, risks and possible problems. See also cost benefit analysis.



11

Term Definition

business continuity management (BCM) (ITIL Service Design) The business process responsible for managing risks that could seriously affect the business. Business continuity management safeguards the interests of key stakeholders, reputation, brand and value-creating activities. The process involves reducing risks to an acceptable level and planning for the recovery of business processes should a disruption to the business occur. Business continuity management sets the objectives, scope and requirements for IT service continuity management.

business continuity plan (BCP) (ITIL Service Design) A plan defining the steps required to restore business processes following a disruption. The plan also identifies the triggers for invocation, people to be involved, communications etc. IT service continuity plans form a significant part of business continuity plans.

business customer (ITIL Service Strategy) A recipient of a product or a service from the business. For example, if the business is a car manufacturer, then the business customer is someone who buys a car.

business impact analysis (BIA) (ITIL Service Strategy) Business impact analysis is the activity in business continuity management that identifies vital business functions and their dependencies. These dependencies may include suppliers, people, other business processes, IT services etc. Business impact analysis defines the recovery requirements for IT services. These requirements include recovery time objectives, recovery point objectives and minimum service level targets for each IT service.

business objective (ITIL Service Strategy) The objective of a business process, or of the business as a whole. Business objectives support the business vision, provide guidance for the IT strategy, and are often supported by IT services.

business operations (ITIL Service Strategy) The day-to-day execution, monitoring and management of business processes.



12

Term Definition

business perspective (ITIL Continual Service Improvement) An understanding of the service provider and IT services from the point of view of the business, and an understanding of the business from the point of view of the service provider.

business process A process that is owned and carried out by the business. A business process contributes to the delivery of a product or service to a business customer. For example, a retailer may have a purchasing process that helps to deliver services to its business customers. Many business processes rely on IT services.

business relationship management (ITIL Service Strategy) The process responsible for maintaining a positive relationship with customers. Business relationship management identifies customer needs and ensures that the service provider is able to meet these needs with an appropriate catalogue of services. This process has strong links with service level management.

business relationship manager (BRM) (ITIL Service Strategy) A role responsible for maintaining the relationship with one or more customers. This role is often combined with the service level manager role.

business service A service that is delivered to business customers by business units. For example, delivery of financial services to customers of a bank, or goods to the customers of a retail store. Successful delivery of business services often depends on one or more IT services. A business service may consist almost entirely of an IT service – for example, an online banking service or an external website where product orders can be placed by business customers. See also customer-facing service.

business service management The management of business services delivered to business customers. Business service management is performed by business units.

business unit (ITIL Service Strategy) A segment of the business that has its own plans, metrics, income and costs. Each business unit owns assets and uses these to create value for customers in the form of goods and services.



13

Term Definition

call (ITIL Service Operation) A telephone call to the service desk from a user. A call could result in an incident or a service request being logged.

call centre (ITIL Service Operation) An organization or business unit that handles large numbers of incoming and outgoing telephone calls. Seealso service desk.

call type (ITIL Service Operation) A category that is used to distinguish incoming requests to a service desk. Common call types are incident, service request and complaint.

capability (ITIL Service Strategy) The ability of an organization, person, process, application, IT service or other configuration item to carry out an activity. Capabilities are intangible assets of an organization. See also resource.

Capability Maturity Model Integration (CMMI) (ITIL Continual Service Improvement) A process improvement approach developed by the Software Engineering Institute (SEI) of Carnegie Mellon University, US. CMMI provides organizations with the essential elements of effective processes. It can be used to guide process improvement across a project, a division or an entire organization. CMMI helps integrate traditionally separate organizational functions, set process improvement goals and priorities, provide guidance for quality processes, and provide a point of reference for appraising current processes. See www.sei.cmu.edu/cmmi for more information. See also maturity.

capacity (ITIL Service Design) The maximum throughput that a configuration item or IT service can deliver. For some types of CI, capacity may be the size or volume – for example, a disk drive.



14

Term Definition

capacity management (ITIL Continual Service Improvement) (ITIL Service Design) The process responsible for ensuring that the capacity of IT services and the IT infrastructure is able to meet agreed capacity- and performance-related requirements in a cost-effective and timely manner. Capacity management considers all resources required to deliver an IT service, and is concerned with meeting both the current and future capacity and performance needs of the business. Capacity management includes three sub-processes: business capacity management, service capacity management, and component capacity management. See also capacity management information system.

capacity management information system (CMIS)

(ITIL Service Design) A set of tools, data and information that is used to support capacity management. See also service knowledge management system.

capacity plan (ITIL Service Design) A plan used to manage the resources required to deliver IT services. The plan contains details of current and historic usage of IT services and components, and any issues that need to be addressed (including related improvement activities). The plan also contains scenarios for different predictions of business demand and costed options to deliver the agreed service level targets.

capacity planning (ITIL Service Design) The activity within capacity management responsible for creating a capacity plan.

capital budgeting (ITIL Service Strategy) The present commitment of funds in order to receive a return in the future in the form of additional cash inflows or reduced cash outflows.

capital cost (ITIL Service Strategy) The cost of purchasing something that will become a financial asset – for example, computer equipment and buildings. The value of the asset depreciates over multiple accounting periods. See also operational cost.

capital expenditure (CAPEX) See capital cost.



15

Term Definition

capitalization (ITIL Service Strategy) Identifying major cost as capital, even though no asset is purchased. This is done to spread the impact of the cost over multiple accounting periods. The most common example of this is software development, or purchase of a software licence.

category A named group of things that have something in common. Categories are used to group similar things together. For example, cost types are used to group similar types of cost. Incident categories are used to group similar types of incident, while CI types are used to group similar types of configuration item.

certification Issuing a certificate to confirm compliance to a standard. Certification includes a formal audit by an independent and accredited body. The term is also used to mean awarding a certificate to provide evidence that a person has achieved a qualification.

change (ITIL Service Transition) The addition, modification or removal of anything that could have an effect on IT services. The scope should include changes to all architectures, processes, tools, metrics and documentation, as well as changes to IT services and other configuration items.

change advisory board (CAB) (ITIL Service Transition) A group of people that support the assessment, prioritization, authorization and scheduling of changes. A change advisory board is usually made up of representatives from: all areas within the IT service provider; the business; and third parties such as suppliers.

change evaluation (ITIL Service Transition) The process responsible for formal assessment of a new or changed IT service to ensure that risks have been managed and to help determine whether to authorize the change.

change history (ITIL Service Transition) Information about all changes made to a configuration item during its life. Change history consists of all those change records that apply to the CI.



16

Term Definition

change management (ITIL Service Transition) The process responsible for controlling the lifecycle of all changes, enabling beneficial changes to be made with minimum disruption to IT services.

change model (ITIL Service Transition) A repeatable way of dealing with a particular category of change. A change model defines specific agreed steps that will be followed for a change of this category. Change models may be very complex with many steps that require authorization (e.g. major software release) or may be very simple with no requirement for authorization (e.g. password reset). See alsochange advisory board; standard change.

change proposal (ITIL Service Strategy) (ITIL Service Transition) A document that includes a high level description of a potential service introduction or significant change, along with a corresponding business case and an expected implementation schedule. Change proposals are normally created by the service portfolio management process and are passed to change management for authorization. Change management will review the potential impact on other services, on shared resources, and on the overall change schedule. Once the change proposal has been authorized, service portfolio management will charter the service.

change record (ITIL Service Transition) A record containing the details of a change. Each change record documents the lifecycle of a single change. A change record is created for every request for change that is received, even those that are subsequently rejected. Change records should reference the configuration items that are affected by the change. Change records may be stored in the configuration management system, or elsewhere in the service knowledge management system.

change request See request for change.



17

Term Definition

change schedule (ITIL Service Transition) A document that lists all authorized changes and their planned implementation dates, as well as the estimated dates of longer-term changes. A change schedule is sometimes called a forward schedule of change, even though it also contains information about changes that have already been implemented.

change window (ITIL Service Transition) A regular, agreed time when changes or releases may be implemented with minimal impact on services. Change windows are usually documented in service level agreements.

chargeable item (ITIL Service Strategy) A deliverable of an IT service that is used in calculating charges to customers (for example, number of transactions, number of desktop PCs).

charging (ITIL Service Strategy) Requiring payment for IT services. Charging for IT services is optional, and many organizations choose to treat their IT service provider as a cost centre. See also charging process; charging policy.

charging policy (ITIL Service Strategy) A policy specifying the objective of the charging process and the way in which charges will be calculated. Seealso cost.

charging process (ITIL Service Strategy) The process responsible for deciding how much customers should pay (pricing) and recovering money from them (billing). This process is not described in detail within the core ITIL publications.

charter (ITIL Service Strategy) A document that contains details of a new service, a significant change or other significant project. Charters are typically authorized by service portfolio management or by a project management office. The term charter is also used to describe the act of authorizing the work required to complete the service change or project. See also change proposal; service charter; project portfolio.



18

Term Definition

chronological analysis (ITIL Service Operation) A technique used to help identify possible causes of problems. All available data about the problem is collected and sorted by date and time to provide a detailed timeline. This can make it possible to identify which events may have been triggered by others.

CI type (ITIL Service Transition) A category that is used to classify configuration items. The CI type identifies the required attributes and relationships for a configuration record. Common CI types include hardware, document, user etc.

classification The act of assigning a category to something. Classification is used to ensure consistent management and reporting. Configuration items, incidents, problems, changes etc. are usually classified.

client A generic term that means a customer, the business or a business customer. For example, client manager may be used as a synonym for business relationship manager. The term is also used to mean:

A computer that is used directly by a user – for example, a PC, a handheld computer or a work station

The part of a client server application that the user directly interfaces with – for example, an email client.

closed (ITIL Service Operation) The final status in the lifecycle of an incident, problem, change etc. When the status is closed, no further action is taken.

closure (ITIL Service Operation) The act of changing the status of an incident, problem, change etc. to closed.

COBIT (ITIL Continual Service Improvement) Control OBjectives for Information and related Technology (COBIT) provides guidance and best practice for the management of IT processes. COBIT is published by ISACA in conjunction with the IT Governance Institute (ITGI). See www.isaca.org for more information.



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Term Definition

code of practice A guideline published by a public body or a standards organization, such as ISO or BSI. Many standards consist of a code of practice and a specification. The code of practice describes recommended best practice.

cold standby See gradual recovery.

commercial off the shelf (COTS) (ITIL Service Design) Pre-existing application software or middleware that can be purchased from a third party.

compliance Ensuring that a standard or set of guidelines is followed, or that proper, consistent accounting or other practices are being employed.

component A general term that is used to mean one part of something more complex. For example, a computer system may be a component of an IT service; an application may be a component of a release unit. Components that need to be managed should be configuration items.

component capacity management (CCM) (ITIL Continual Service Improvement) (ITIL Service Design) The sub-process of capacity management responsible for understanding the capacity, utilization and performance of configuration items. Data is collected, recorded and analysed for use in the capacity plan. See also business capacity management; service capacity management.

component CI (ITIL Service Transition) A configuration item that is part of an assembly. For example, a CPU or memory CI may be part of a server CI.

component failure impact analysis (CFIA) (ITIL Service Design) A technique that helps to identify the impact of configuration item failure on IT services and the business. A matrix is created with IT services on one axis and CIs on the other. This enables the identification of critical CIs (that could cause the failure of multiple IT services) and fragile IT services (that have multiple single points of failure).



20

Term Definition

computer telephony integration (CTI) (ITIL Service Operation) Computer telephony integration is a general term covering any kind of integration between computers and telephone systems. It is most commonly used to refer to systems where an application displays detailed screens relating to incoming or outgoing telephone calls. See alsoautomatic call distribution; interactive voice response.

concurrency A measure of the number of users engaged in the same operation at the same time.

confidentiality (ITIL Service Design) A security principle that requires that data should only be accessed by authorized people.

configuration (ITIL Service Transition) A generic term used to describe a group of configuration items that work together to deliver an IT service, or a recognizable part of an IT service. Configuration is also used to describe the parameter settings for one or more configuration items.

configuration baseline (ITIL Service Transition) The baseline of a configuration that has been formally agreed and is managed through the change management process. A configuration baseline is used as a basis for future builds, releases and changes.

configuration control (ITIL Service Transition) The activity responsible for ensuring that adding, modifying or removing a configuration item is properly managed – for example, by submitting a request for change or service request.

configuration identification (ITIL Service Transition) The activity responsible for collecting information about configuration items and their relationships, and loading this information into the configuration management database. Configuration identification is also responsible for labelling the configuration items themselves, so that the corresponding configuration records can be found.



21

Term Definition

configuration item (CI) (ITIL Service Transition) Any component or other service asset that needs to be managed in order to deliver an IT service. Information about each configuration item is recorded in a configuration record within the configuration management system and is maintained throughout its lifecycle by service asset and configuration management. Configuration items are under the control of change management. They typically include IT services, hardware, software, buildings, people and formal documentation such as process documentation and service level agreements.

configuration management See service asset and configuration management.

configuration management database (CMDB) (ITIL Service Transition) A database used to store configuration records throughout their lifecycle. The configuration management system maintains one or more configuration management databases, and each database stores attributes of configuration items, and relationships with other configuration items.

configuration management system (CMS) (ITIL Service Transition) A set of tools, data and information that is used to support service asset and configuration management. The CMS is part of an overall service knowledge management system and includes tools for collecting, storing, managing, updating, analysing and presenting data about all configuration items and their relationships. The CMS may also include information about incidents, problems, known errors, changes and releases. The CMS is maintained by service asset and configuration management and is used by all IT service management processes. See also configuration management database.

configuration record (ITIL Service Transition) A record containing the details of a configuration item. Each configuration record documents the lifecycle of a single configuration item. Configuration records are stored in a configuration management database and maintained as part of a configuration management system.



22

Term Definition

configuration structure (ITIL Service Transition) The hierarchy and other relationships between all the configuration items that comprise a configuration.

continual service improvement (CSI) (ITIL Continual Service Improvement) A stage in the lifecycle of a service. Continual service improvement ensures that services are aligned with changing business needs by identifying and implementing improvements to IT services that support business processes. The performance of the IT service provider is continually measured and improvements are made to processes, IT services and IT infrastructure in order to increase efficiency, effectiveness and cost effectiveness. Continual service improvement includes the seven-step improvement process. Although this process is associated with continual service improvement, most processes have activities that take place across multiple stages of the service lifecycle. See also Plan-Do-Check-Act.

continuous availability (ITIL Service Design) An approach or design to achieve 100% availability. A continuously available IT service has no planned or unplanned downtime.

continuous operation (ITIL Service Design) An approach or design to eliminate planned downtime of an IT service. Note that individual configuration items may be down even though the IT service is available.

contract A legally binding agreement between two or more parties.

control A means of managing a risk, ensuring that a business objective is achieved or that a process is followed. Examples of control include policies, procedures, roles, RAID, door locks etc. A control is sometimes called a countermeasure or safeguard. Control also means to manage the utilization or behaviour of a configuration item, system or IT service.

Control OBjectives for Information and related Technology

See COBIT.



23

Term Definition

control perspective (ITIL Service Strategy) An approach to the management of IT services, processes, functions, assets etc. There can be several different control perspectives on the same IT service, process etc., allowing different individuals or teams to focus on what is important and relevant to their specific role. Examples of control perspective include reactive and proactive management within IT operations, or a lifecycle view for an application project team.

control processes The ISO/IEC 20000 process group that includes change management and configuration management.

core service (ITIL Service Strategy) A service that delivers the basic outcomes desired by one or more customers. A core service provides a specific level of utility and warranty. Customers may be offered a choice of utility and warranty through one or more service options. Seealso enabling service; enhancing service; IT service; service package.

cost The amount of money spent on a specific activity, IT service or business unit. Costs consist of real cost (money), notional cost (such as people’s time) and depreciation.

cost benefit analysis An activity that analyses and compares the costs and the benefits involved in one or more alternative courses of action. See alsobusiness case; internal rate of return; net present value; return on investment; value on investment.

cost centre (ITIL Service Strategy) A business unit or project to which costs are assigned. A cost centre does not charge for services provided. An IT service provider can be run as a cost centre or a profit centre.

cost element (ITIL Service Strategy) The middle level of category to which costs are assigned in budgeting and accounting. The highest-level category is cost type. For example, a cost type of ‘people’ could have cost elements of payroll, staff benefits, expenses, training, overtime etc. Cost elements can be further broken down to give cost units. For example, the cost element ‘expenses’ could include cost units of hotels, transport, meals etc.



24

Term Definition

cost management (ITIL Service Strategy) A general term that is used to refer to budgeting and accounting, and is sometimes used as a synonym for financial management.

cost model (ITIL Service Strategy) A framework used in budgeting and accounting in which all known costs can be recorded, categorized and allocated to specific customers, business units or projects. See also cost type; cost element; cost unit.

cost type (ITIL Service Strategy) The highest level of category to which costs are assigned in budgeting and accounting – for example, hardware, software, people, accommodation, external and transfer. See also cost element; cost unit.

cost unit (ITIL Service Strategy) The lowest level of category to which costs are assigned, cost units are usually things that can be easily counted (e.g. staff numbers, software licences) or things easily measured (e.g. CPU usage, electricity consumed). Cost units are included within cost elements. For example, a cost element of ‘expenses’ could include cost units of hotels, transport, meals etc. See also cost type.

cost effectiveness A measure of the balance between the effectiveness and cost of a service, process or activity. A cost-effective process is one that achieves its objectives at minimum cost. See also key performance indicator; return on investment; value for money.

countermeasure Can be used to refer to any type of control. The term is most often used when referring to measures that increase resilience, fault tolerance or reliability of an IT service.

course corrections Changes made to a plan or activity that has already started to ensure that it will meet its objectives. Course corrections are made as a result of monitoring progress.



25

Term Definition

crisis management Crisis management is the process responsible for managing the wider implications of business continuity. A crisis management team is responsible for strategic issues such as managing media relations and shareholder confidence, and decides when to invoke business continuity plans.

critical success factor (CSF) Something that must happen if an IT service, process, plan, project or other activity is to succeed. Key performance indicators are used to measure the achievement of each critical success factor. For example, a critical success factor of ‘protect IT services when making changes’ could be measured by key performance indicators such as ‘percentage reduction of unsuccessful changes’, ‘percentage reduction in changes causing incidents’ etc.

CSI register (ITIL Continual Service Improvement) A database or structured document used to record and manage improvement opportunities throughout their lifecycle.

culture A set of values that is shared by a group of people, including expectations about how people should behave, their ideas, beliefs and practices. See also vision.

customer Someone who buys goods or services. The customer of an IT service provider is the person or group who defines and agrees the service level targets. The term is also sometimes used informally to mean user – for example, ‘This is a customer-focused organization.’

customer asset Any resource or capability of a customer. See also asset.

customer agreement portfolio (ITIL Service Strategy) A database or structured document used to manage service contracts or agreements between an IT service provider and its customers. Each IT service delivered to a customer should have a contract or other agreement that is listed in the customer agreement portfolio. See alsocustomer-facing service; service catalogue; service portfolio.



26

Term Definition

customer portfolio (ITIL Service Strategy) A database or structured document used to record all customers of the IT service provider. The customer portfolio is the business relationship manager’s view of the customers who receive services from the IT service provider. See also customer agreement portfolio; service catalogue; service portfolio.

customer-facing service (ITIL Service Design) An IT service that is visible to the customer. These are normally services that support the customer’s business processes and facilitate one or more outcomes desired by the customer. All live customer-facing services, including those available for deployment, are recorded in the service catalogue along with customer-visible information about deliverables, prices, contact points, ordering and request processes. Other information such as relationships to supporting services and other CIs will also be recorded for internal use by the IT service provider.

dashboard (ITIL Service Operation) A graphical representation of overall IT service performance and availability. Dashboard images may be updated in real time, and can also be included in management reports and web pages. Dashboards can be used to support service level management, event management and incident diagnosis.

Data-to-Information-to-Knowledge-to-Wisdom (DIKW)

(ITIL Service Transition) A way of understanding the relationships between data, information, knowledge and wisdom. DIKW shows how each of these builds on the others.

definitive media library (DML) (ITIL Service Transition) One or more locations in which the definitive and authorized versions of all software configuration items are securely stored. The definitive media library may also contain associated configuration items such as licences and documentation. It is a single logical storage area even if there are multiple locations. The definitive media library is controlled by service asset and configuration management and is recorded in the configuration management system.



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Term Definition

deliverable Something that must be provided to meet a commitment in a service level agreement or a contract. It is also used in a more informal way to mean a planned output of any process.

demand management (ITIL Service Design) (ITIL Service Strategy)The process responsible for understanding, anticipating and influencing customer demand for services. Demand management works with capacity management to ensure that the service provider has sufficient capacity to meet the required demand. At a strategic level, demand management can involve analysis of patterns of business activity and user profiles, while at a tactical level, it can involve the use of differential charging to encourage customers to use IT services at less busy times, or require short-term activities to respond to unexpected demand or the failure of a configuration item.

Deming Cycle See Plan-Do-Check-Act.

dependency The direct or indirect reliance of one process or activity on another.

deployment (ITIL Service Transition) The activity responsible for movement of new or changed hardware, software, documentation, process etc. to the live environment. Deployment is part of the release and deployment management process.

depreciation (ITIL Service Strategy) A measure of the reduction in value of an asset over its life. This is based on wearing out, consumption or other reduction in the useful economic value.

design (ITIL Service Design) An activity or process that identifies requirements and then defines a solution that is able to meet these requirements. See also service design.

design coordination (ITIL Service Design) The process responsible for coordinating all service design activities, processes and resources. Design coordination ensures the consistent and effective design of new or changed IT services, service management information systems, architectures, technology, processes, information and metrics.



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Term Definition

detection (ITIL Service Operation) A stage in the expanded incident lifecycle. Detection results in the incident becoming known to the service provider. Detection can be automatic or the result of a user logging an incident.

development (ITIL Service Design) The process responsible for creating or modifying an IT service or application ready for subsequent release and deployment. Development is also used to mean the role or function that carries out development work. This process is not described in detail within the core ITIL publications.

development environment (ITIL Service Design) An environment used to create or modify IT services or applications. Development environments are not typically subjected to the same degree of control as test or live environments. See alsodevelopment.

diagnosis (ITIL Service Operation) A stage in the incident and problem lifecycles. The purpose of diagnosis is to identify a workaround for an incident or the root cause of a problem.

diagnostic script (ITIL Service Operation) A structured set of questions used by service desk staff to ensure they ask the correct questions, and to help them classify, resolve and assign incidents. Diagnostic scripts may also be made available to users to help them diagnose and resolve their own incidents.

differential charging A technique used to support demand management by charging different amounts for the same function of an IT service under different circumstances. For example, reduced charges outside peak times, or increased charges for users who exceed a bandwidth allocation.

direct cost (ITIL Service Strategy) The cost of providing an IT service which can be allocated in full to a specific customer, cost centre, project etc. For example, the cost of providing non-shared servers or software licences. See alsoindirect cost.



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Term Definition

directory service (ITIL Service Operation) An application that manages information about IT infrastructure available on a network, and corresponding user access rights.

document Information in readable form. A document may be paper or electronic – for example, a policy statement, service level agreement, incident record or diagram of a computer room layout. See also record.

downtime (ITIL Service Design) (ITIL Service Operation) The time when an IT service or other configuration item is not available during its agreed service time. The availability of an IT service is often calculated from agreed service time and downtime.

driver Something that influences strategy, objectives or requirements – for example, new legislation or the actions of competitors.

early life support (ELS) (ITIL Service Transition) A stage in the service lifecycle that occurs at the end of deployment and before the service is fully accepted into operation. During early life support, the service provider reviews key performance indicators, service levels and monitoring thresholds and may implement improvements to ensure that service targets can be met. The service provider may also provide additional resources for incident and problem management during this time.

economies of scale (ITIL Service Strategy) The reduction in average cost that is possible from increasing the usage of an IT service or asset. See alsoeconomies of scope.

economies of scope (ITIL Service Strategy) The reduction in cost that is allocated to an IT service by using an existing asset for an additional purpose. For example, delivering a new IT service from an existing IT infrastructure. See alsoeconomies of scale.

effectiveness (ITIL Continual Service Improvement) A measure of whether the objectives of a process, service or activity have been achieved. An effective process or activity is one that achieves its agreed objectives. Seealso key performance indicator.



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Term Definition

efficiency (ITIL Continual Service Improvement) A measure of whether the right amount of resource has been used to deliver a process, service or activity. An efficient process achieves its objectives with the minimum amount of time, money, people or other resources. See also key performance indicator.

emergency change (ITIL Service Transition) A change that must be introduced as soon as possible – for example, to resolve a major incident or implement a security patch. The change management process will normally have a specific procedure for handling emergency changes. See also emergency change advisory board.

emergency change advisory board (ECAB) (ITIL Service Transition) A subgroup of the change advisory board that makes decisions about emergency changes. Membership may be decided at the time a meeting is called, and depends on the nature of the emergency change.

enabling service (ITIL Service Strategy) A service that is needed in order to deliver a core service. Enabling services may or may not be visible to the customer, but they are not offered to customers in their own right. See alsoenhancing service.

enhancing service (ITIL Service Strategy) A service that is added to a core service to make it more attractive to the customer. Enhancing services are not essential to the delivery of a core service but are used to encourage customers to use the core services or to differentiate the service provider from its competitors. See also enabling service; excitement factor.

enterprise financial management (ITIL Service Strategy) The function and processes responsible for managing the overall organization’s budgeting, accounting and charging requirements. Enterprise financial management is sometimes referred to as the ‘corporate’ financial department. See also financial management for IT services.



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Term Definition

environment (ITIL Service Transition) A subset of the IT infrastructure that is used for a particular purpose – for example, live environment, test environment, build environment. Also used in the term ‘physical environment’ to mean the accommodation, air conditioning, power system etc. Environment is used as a generic term to mean the external conditions that influence or affect something.

error (ITIL Service Operation) A design flaw or malfunction that causes a failure of one or more IT services or other configuration items. A mistake made by a person or a faulty process that impacts a configuration item is also an error.

escalation (ITIL Service Operation) An activity that obtains additional resources when these are needed to meet service level targets or customer expectations. Escalation may be needed within any IT service management process, but is most commonly associated with incident management, problem management and the management of customer complaints. There are two types of escalation: functional escalation and hierarchic escalation.

eSourcing Capability Model for Client Organizations (eSCM-CL)

(ITIL Service Strategy) A framework to help organizations in their analysis and decision-making on service sourcing models and strategies. It was developed by Carnegie Mellon University in the US. See alsoeSourcing Capability Model for Service Providers.

eSourcing Capability Model for Service Providers (eSCM-SP)

(ITIL Service Strategy) A framework to help IT service providers develop their IT service management capabilities from a service sourcing perspective. It was developed by Carnegie Mellon University in the US. Seealso eSourcing Capability Model for Client Organizations.

estimation The use of experience to provide an approximate value for a metric or cost. Estimation is also used in capacity and availability management as the cheapest and least accurate modelling method.



32

Term Definition

event (ITIL Service Operation) A change of state that has significance for the management of an IT service or other configuration item. The term is also used to mean an alert or notification created by any IT service, configuration item or monitoring tool. Events typically require IT operations personnel to take actions, and often lead to incidents being logged.

event management (ITIL Service Operation) The process responsible for managing events throughout their lifecycle. Event management is one of the main activities of IT operations.

exception report A document containing details of one or more key performance indicators or other important targets that have exceeded defined thresholds. Examples include service level agreement targets being missed or about to be missed, and a performance metric indicating a potential capacity problem.

excitement attribute See excitement factor.

excitement factor (ITIL Service Strategy) An attribute added to something to make it more attractive or more exciting to the customer. For example, a restaurant may provide a free drink with every meal. See also enhancing service.

expanded incident lifecycle (ITIL Continual Service Improvement) (ITIL Service Design) Detailed stages in the lifecycle of an incident. The stages are detection, diagnosis, repair, recovery and restoration. The expanded incident lifecycle is used to help understand all contributions to the impact of incidents and to plan for how these could be controlled or reduced.

external customer A customer who works for a different business from the IT service provider. Seealso external service provider; internal customer.

external metric A metric that is used to measure the delivery of IT service to a customer. External metrics are usually defined in service level agreements and reported to customers. Seealso internal metric.



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Term Definition

external service provider (ITIL Service Strategy) An IT service provider that is part of a different organization from its customer. An IT service provider may have both internal and external customers. See also outsourcing; Type III service provider.

facilities management (ITIL Service Operation) The function responsible for managing the physical environment where the IT infrastructure is located. Facilities management includes all aspects of managing the physical environment – for example, power and cooling, building access management, and environmental monitoring.

failure (ITIL Service Operation) Loss of ability to operate to specification, or to deliver the required output. The term may be used when referring to IT services, processes, activities, configuration items etc. A failure often causes an incident.

fast recovery (ITIL Service Design) A recovery option that is also known as hot standby. Fast recovery normally uses a dedicated fixed facility with computer systems and software configured ready to run the IT services. Fast recovery typically takes up to 24 hours but may be quicker if there is no need to restore data from backups.

fault See error.

fault tolerance (ITIL Service Design) The ability of an IT service or other configuration item to continue to operate correctly after failure of a component part. See also countermeasure; resilience.

fault tree analysis (FTA) (ITIL Continual Service Improvement) (ITIL Service Design) A technique that can be used to determine a chain of events that has caused an incident, or may cause an incident in the future. Fault tree analysis represents a chain of events using Boolean notation in a diagram.



34

Term Definition

financial management (ITIL Service Strategy) A generic term used to describe the function and processes responsible for managing an organization’s budgeting, accounting and charging requirements. Enterprise financial management is the specific term used to describe the function and processes from the perspective of the overall organization. Financial management for IT services is the specific term used to describe the function and processes from the perspective of the IT service provider.

financial management for IT services (ITIL Service Strategy) The function and processes responsible for managing an IT service provider’s budgeting, accounting and charging requirements. Financial management for IT services secures an appropriate level of funding to design, develop and deliver services that meet the strategy of the organization in a cost-effective manner. See also enterprise financial management.

financial year (ITIL Service Strategy) An accounting period covering 12 consecutive months. A financial year may start on any date (for example, 1 April to 31 March).

first-line support (ITIL Service Operation) The first level in a hierarchy of support groups involved in the resolution of incidents. Each level contains more specialist skills, or has more time or other resources. See also escalation.

fishbone diagram See Ishikawa diagram.

fit for purpose (ITIL Service Strategy) The ability to meet an agreed level of utility. Fit for purpose is also used informally to describe a process, configuration item, IT service etc. that is capable of meeting its objectives or service levels. Being fit for purpose requires suitable design, implementation, control and maintenance.

fit for use (ITIL Service Strategy) The ability to meet an agreed level of warranty. Being fit for use requires suitable design, implementation, control and maintenance.



35

Term Definition

fixed asset (ITIL Service Transition) A tangible business asset that has a long-term useful life (for example, a building, a piece of land, a server or a software licence). See also service asset; configuration item.

fixed asset management (ITIL Service Transition) The process responsible for tracking and reporting the value and ownership of fixed assets throughout their lifecycle. Fixed asset management maintains the asset register and is usually carried out by the overall business, rather than by the IT organization. Fixed asset management is sometimes called financial asset management and is not described in detail within the core ITIL publications.

fixed cost (ITIL Service Strategy) A cost that does not vary with IT service usage – for example, the cost of server hardware. See also variable cost.

fixed facility (ITIL Service Design) A permanent building, available for use when needed by an IT service continuity plan. See also portable facility; recovery option.

follow the sun (ITIL Service Operation) A methodology for using service desks and support groups around the world to provide seamless 24/7 service. Calls, incidents, problems and service requests are passed between groups in different time zones.

fulfilment Performing activities to meet a need or requirement – for example, by providing a new IT service, or meeting a service request.



36

Term Definition

function A team or group of people and the tools or other resources they use to carry out one or more processes or activities – for example, the service desk. The term also has two other meanings:

An intended purpose of a configuration item, person, team, process or IT service. For example, one function of an email service may be to store and forward outgoing mails, while the function of a business process may be to despatch goods to customers.

To perform the intended purpose correctly, as in ‘The computer is functioning.’

functional escalation (ITIL Service Operation) Transferring an incident, problem or change to a technical team with a higher level of expertise to assist in an escalation.

gap analysis (ITIL Continual Service Improvement) An activity that compares two sets of data and identifies the differences. Gap analysis is commonly used to compare a set of requirements with actual delivery. See alsobenchmarking.

governance Ensures that policies and strategy are actually implemented, and that required processes are correctly followed. Governance includes defining roles and responsibilities, measuring and reporting, and taking actions to resolve any issues identified.

gradual recovery (ITIL Service Design) A recovery option that is also known as cold standby. Gradual recovery typically uses a portable or fixed facility that has environmental support and network cabling, but no computer systems. The hardware and software are installed as part of the IT service continuity plan. Gradual recovery typically takes more than three days, and may take significantly longer.



37

Term Definition

guideline A document describing best practice, which recommends what should be done. Compliance with a guideline is not normally enforced. See also standard.

hierarchic escalation (ITIL Service Operation) Informing or involving more senior levels of management to assist in an escalation.

high availability (ITIL Service Design) An approach or design that minimizes or hides the effects of configuration item failure from the users of an IT service. High availability solutions are designed to achieve an agreed level of availability and make use of techniques such as fault tolerance, resilience and fast recovery to reduce the number and impact of incidents.

hot standby See fast recovery; immediate recovery.

identity (ITIL Service Operation) A unique name that is used to identify a user, person or role. The identity is used to grant rights to that user, person or role. Example identities might be the username SmithJ or the role ‘change manager’.

immediate recovery (ITIL Service Design) A recovery option that is also known as hot standby. Provision is made to recover the IT service with no significant loss of service to the customer. Immediate recovery typically uses mirroring, load balancing and split-site technologies.

impact (ITIL Service Operation) (ITIL Service Transition) A measure of the effect of an incident, problem or change on business processes. Impact is often based on how service levels will be affected. Impact and urgency are used to assign priority.

incident (ITIL Service Operation) An unplanned interruption to an IT service or reduction in the quality of an IT service. Failure of a configuration item that has not yet affected service is also an incident – for example, failure of one disk from a mirror set.



38

Term Definition

incident management (ITIL Service Operation) The process responsible for managing the lifecycle of all incidents. Incident management ensures that normal service operation is restored as quickly as possible and the business impact is minimized.

incident record (ITIL Service Operation) A record containing the details of an incident. Each incident record documents the lifecycle of a single incident.

indirect cost (ITIL Service Strategy) The cost of providing an IT service which cannot be allocated in full to a specific customer – for example, the cost of providing shared servers or software licences. Also known as overhead. See alsodirect cost.

information security management (ISM) (ITIL Service Design) The process responsible for ensuring that the confidentiality, integrity and availability of an organization’s assets, information, data and IT services match the agreed needs of the business. Information security management supports business security and has a wider scope than that of the IT service provider, and includes handling of paper, building access, phone calls etc. for the entire organization. See also security management information system.

information security management system (ISMS)

(ITIL Service Design) The framework of policy, processes, functions, standards, guidelines and tools that ensures an organization can achieve its information security management objectives. See alsosecurity management information system.

information security policy (ITIL Service Design) The policy that governs the organization’s approach to information security management.

information system See management information system.



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Term Definition

information technology (IT) The use of technology for the storage, communication or processing of information. The technology typically includes computers, telecommunications, applications and other software. The information may include business data, voice, images, video etc. Information technology is often used to support business processes through IT services.

infrastructure service A type of supporting service that provides hardware, network or other data centre components. The term is also used as a synonym for supporting service.

insourcing (ITIL Service Strategy) Using an internal service provider to manage IT services. The term insourcing is also used to describe the act of transferring the provision of an IT service from an external service provider to an internal service provider. See also service sourcing.

integrity (ITIL Service Design) A security principle that ensures data and configuration items are modified only by authorized personnel and activities. Integrity considers all possible causes of modification, including software and hardware failure, environmental events, and human intervention.

interactive voice response (IVR) (ITIL Service Operation) A form of automatic call distribution that accepts user input, such as key presses and spoken commands, to identify the correct destination for incoming calls.

intermediate recovery (ITIL Service Design) A recovery option that is also known as warm standby. Intermediate recovery usually uses a shared portable or fixed facility that has computer systems and network components. The hardware and software will need to be configured, and data will need to be restored, as part of the IT service continuity plan. Typical recovery times for intermediate recovery are one to three days.

internal customer A customer who works for the same business as the IT service provider. See also external customer; internal service provider.



40

Term Definition

internal metric A metric that is used within the IT service provider to monitor the efficiency, effectiveness or cost effectiveness of the IT service provider’s internal processes. Internal metrics are not normally reported to the customer of the IT service. See also external metric.

internal rate of return (IRR) (ITIL Service Strategy) A technique used to help make decisions about capital expenditure. It calculates a figure that allows two or more alternative investments to be compared. A larger internal rate of return indicates a better investment. See also net present value; return on investment.

internal service provider (ITIL Service Strategy) An IT service provider that is part of the same organization as its customer. An IT service provider may have both internal and external customers. See also insourcing; Type I service provider; Type II service provider.

International Organization for Standardization (ISO)

The International Organization for Standardization (ISO) is the world’s largest developer of standards. ISO is a non-governmental organization that is a network of the national standards institutes of 156 countries. See www.iso.org for further information about ISO.

International Standards Organization See International Organization for Standardization.

internet service provider (ISP) An external service provider that provides access to the internet. Most ISPs also provide other IT services such as web hosting.

invocation (ITIL Service Design) Initiation of the steps defined in a plan – for example, initiating the IT service continuity plan for one or more IT services.

Ishikawa diagram (ITIL Continual Service Improvement) (ITIL Service Operation) A technique that helps a team to identify all the possible causes of a problem. Originally devised by Kaoru Ishikawa, the output of this technique is a diagram that looks like a fishbone.



41

Term Definition

ISO 9000 A generic term that refers to a number of international standards and guidelines for quality management systems. See www.iso.org for more information. See alsoInternational Organization for Standardization.

ISO 9001 An international standard for quality management systems. See also ISO 9000; standard.

ISO/IEC 20000 An international standard for IT service management.

ISO/IEC 27001 (ITIL Continual Service Improvement) (ITIL Service Design) An international specification for information security management. The corresponding code of practice is ISO/IEC 27002. See also standard.

ISO/IEC 27002 (ITIL Continual Service Improvement) An international code of practice for information security management. The corresponding specification is ISO/IEC 27001. See alsostandard.

IT accounting See accounting.

IT infrastructure All of the hardware, software, networks, facilities etc. that are required to develop, test, deliver, monitor, control or support applications and IT services. The term includes all of the information technology but not the associated people, processes and documentation.

IT operations (ITIL Service Operation) Activities carried out by IT operations control, including console management/operations bridge, job scheduling, backup and restore, and print and output management. IT operations is also used as a synonym for service operation.

IT operations control (ITIL Service Operation) The function responsible for monitoring and control of the IT services and IT infrastructure. See alsooperations bridge.



42

Term Definition

IT operations management (ITIL Service Operation) The function within an IT service provider that performs the daily activities needed to manage IT services and the supporting IT infrastructure. IT operations management includes IT operations control and facilities management.

IT service A service provided by an IT service provider. An IT service is made up of a combination of information technology, people and processes. A customer-facing IT service directly supports the business processes of one or more customers and its service level targets should be defined in a service level agreement. Other IT services, called supporting services, are not directly used by the business but are required by the service provider to deliver customer-facing services. See also core service; enabling service; enhancing service; service; service package.

IT service continuity management (ITSCM) (ITIL Service Design) The process responsible for managing risks that could seriously affect IT services. IT service continuity management ensures that the IT service provider can always provide minimum agreed service levels, by reducing the risk to an acceptable level and planning for the recovery of IT services. IT service continuity management supports business continuity management.

IT service continuity plan (ITIL Service Design) A plan defining the steps required to recover one or more IT services. The plan also identifies the triggers for invocation, people to be involved, communications etc. The IT service continuity plan should be part of a business continuity plan.

IT service management (ITSM) The implementation and management of quality IT services that meet the needs of the business. IT service management is performed by IT service providers through an appropriate mix of people, process and information technology. See also service management.



43

Term Definition

IT Service Management Forum (itSMF) The IT Service Management Forum is an independent organization dedicated to promoting a professional approach to IT service management. The itSMF is a not-for-profit membership organization with representation in many countries around the world (itSMF chapters). The itSMF and its membership contribute to the development of ITIL and associated IT service management standards. See www.itsmf.com for more information.

IT service provider (ITIL Service Strategy) A service provider that provides IT services to internal or external customers.

IT steering group (ISG) (ITIL Service Design) (ITIL Service Strategy)A formal group that is responsible for ensuring that business and IT service provider strategies and plans are closely aligned. An IT steering group includes senior representatives from the business and the IT service provider. Also known as IT strategy group or IT steering committee.

ITIL® A set of best-practice publications for IT service management. Owned by the Cabinet Office (part of HM Government), ITIL gives guidance on the provision of quality IT services and the processes, functions and other capabilities needed to support them. The ITIL framework is based on a service lifecycle and consists of five lifecycle stages (service strategy, service design, service transition, service operation and continual service improvement), each of which has its own supporting publication. There is also a set of complementary ITIL publications providing guidance specific to industry sectors, organization types, operating models and technology architectures. See www.itil-officialsite.com for more information.

job description A document that defines the roles, responsibilities, skills and knowledge required by a particular person. One job description can include multiple roles – for example, the roles of configuration manager and change manager may be carried out by one person.



44

Term Definition

job scheduling (ITIL Service Operation) Planning and managing the execution of software tasks that are required as part of an IT service. Job scheduling is carried out by IT operations management, and is often automated using software tools that run batch or online tasks at specific times of the day, week, month or year.

Kano model (ITIL Service Strategy) A model developed by Noriaki Kano that is used to help understand customer preferences. The Kano model considers attributes of an IT service grouped into areas such as basic factors, excitement factors, performance factors etc.

Kepner and Tregoe analysis (ITIL Service Operation) A structured approach to problem solving. The problem is analysed in terms of what, where, when and extent. Possible causes are identified, the most probable cause is tested, and the true cause is verified.

key performance indicator (KPI) (ITIL Continual Service Improvement) (ITIL Service Design) A metric that is used to help manage an IT service, process, plan, project or other activity. Key performance indicators are used to measure the achievement of critical success factors. Many metrics may be measured, but only the most important of these are defined as key performance indicators and used to actively manage and report on the process, IT service or activity. They should be selected to ensure that efficiency, effectiveness and cost effectiveness are all managed.

knowledge base (ITIL Service Transition) A logical database containing data and information used by the service knowledge management system.

knowledge management (ITIL Service Transition) The process responsible for sharing perspectives, ideas, experience and information, and for ensuring that these are available in the right place and at the right time. The knowledge management process enables informed decisions, and improves efficiency by reducing the need to rediscover knowledge. See also Data-to-Information-to-Knowledge-to-Wisdom; service knowledge management system.



45

Term Definition

known error (ITIL Service Operation) A problem that has a documented root cause and a workaround. Known errors are created and managed throughout their lifecycle by problem management. Known errors may also be identified by development or suppliers.

known error database (KEDB) (ITIL Service Operation) A database containing all known error records. This database is created by problem management and used by incident and problem management. The known error database may be part of the configuration management system, or may be stored elsewhere in the service knowledge management system.

known error record (ITIL Service Operation) A record containing the details of a known error. Each known error record documents the lifecycle of a known error, including the status, root cause and workaround. In some implementations, a known error is documented using additional fields in a problem record.

lifecycle The various stages in the life of an IT service, configuration item, incident, problem, change etc. The lifecycle defines the categories for status and the status transitions that are permitted. For example:

The lifecycle of an application includes requirements, design, build, deploy, operate, optimize

The expanded incident lifecycle includes detection, diagnosis, repair, recovery and restoration

The lifecycle of a server may include: ordered, received, in test, live, disposed etc.

line of service (LOS) (ITIL Service Strategy) A core service or service package that has multiple service options. A line of service is managed by a service owner and each service option is designed to support a particular market segment.

live (ITIL Service Transition) Refers to an IT service or other configuration item that is being used to deliver service to a customer.



46

Term Definition

live environment (ITIL Service Transition) A controlled environment containing live configuration items used to deliver IT services to customers.

maintainability (ITIL Service Design) A measure of how quickly and effectively an IT service or other configuration item can be restored to normal working after a failure. Maintainability is often measured and reported as MTRS. Maintainability is also used in the context of software or IT service development to mean ability to be changed or repaired easily.

major incident (ITIL Service Operation) The highest category of impact for an incident. A major incident results in significant disruption to the business.

manageability An informal measure of how easily and effectively an IT service or other component can be managed.

management information Information that is used to support decision making by managers. Management information is often generated automatically by tools supporting the various IT service management processes. Management information often includes the values of key performance indicators, such as ‘percentage of changes leading to incidents’ or ‘first-time fix rate’.

management information system (MIS) (ITIL Service Design) A set of tools, data and information that is used to support a process or function. Examples include the availability management information system and the supplier and contract management information system. See also service knowledge management system.

Management of Risk (M_o_R®) M_o_R includes all the activities required to identify and control the exposure to risk, which may have an impact on the achievement of an organization’s business objectives. See www.mor-officialsite.com for more details.



47

Term Definition

management system The framework of policy, processes, functions, standards, guidelines and tools that ensures an organization or part of an organization can achieve its objectives. This term is also used with a smaller scope to support a specific process or activity – for example, an event management system or risk management system. See also system.

manual workaround (ITIL Continual Service Improvement) A workaround that requires manual intervention. Manual workaround is also used as the name of a recovery option in which the business process operates without the use of IT services. This is a temporary measure and is usually combined with another recovery option.

marginal cost (ITIL Service Strategy) The increase or decrease in the cost of producing one more, or one less, unit of output – for example, the cost of supporting an additional user.

market space (ITIL Service Strategy) Opportunities that an IT service provider could exploit to meet the business needs of customers. Market spaces identify the possible IT services that an IT service provider may wish to consider delivering.

maturity (ITIL Continual Service Improvement) A measure of the reliability, efficiency and effectiveness of a process, function, organization etc. The most mature processes and functions are formally aligned to business objectives and strategy, and are supported by a framework for continual improvement.

maturity level A named level in a maturity model, such as the Carnegie Mellon Capability Maturity Model Integration.

mean time between failures (MTBF) (ITIL Service Design) A metric for measuring and reporting reliability. MTBF is the average time that an IT service or other configuration item can perform its agreed function without interruption. This is measured from when the configuration item starts working, until it next fails.



48

Term Definition

mean time between service incidents (MTBSI)

(ITIL Service Design) A metric used for measuring and reporting reliability. It is the mean time from when a system or IT service fails, until it next fails. MTBSI is equal to MTBF plus MTRS.

mean time to repair (MTTR) The average time taken to repair an IT service or other configuration item after a failure. MTTR is measured from when the configuration item fails until it is repaired. MTTR does not include the time required to recover or restore. It is sometimes incorrectly used instead of mean time to restore service.

mean time to restore service (MTRS) The average time taken to restore an IT service or other configuration item after a failure. MTRS is measured from when the configuration item fails until it is fully restored and delivering its normal functionality. Seealso maintainability; mean time to repair.

metric (ITIL Continual Service Improvement)Something that is measured and reported to help manage a process, IT service or activity. See also key performance indicator.

middleware (ITIL Service Design) Software that connects two or more software components or applications. Middleware is usually purchased from a supplier, rather than developed within the IT service provider. Seealso commercial off the shelf.

mission A short but complete description of the overall purpose and intentions of an organization. It states what is to be achieved, but not how this should be done. See alsovision.

model A representation of a system, process, IT service, configuration item etc. that is used to help understand or predict future behaviour.

modelling A technique that is used to predict the future behaviour of a system, process, IT service, configuration item etc. Modelling is commonly used in financial management, capacity management and availability management.



49

Term Definition

monitor control loop (ITIL Service Operation) Monitoring the output of a task, process, IT service or other configuration item; comparing this output to a predefined norm; and taking appropriate action based on this comparison.

monitoring (ITIL Service Operation) Repeated observation of a configuration item, IT service or process to detect events and to ensure that the current status is known.

near-shore (ITIL Service Strategy) Provision of services from a country near the country where the customer is based. This can be the provision of an IT service, or of supporting functions such as a service desk. See also offshore; onshore.

net present value (NPV) (ITIL Service Strategy) A technique used to help make decisions about capital expenditure. It compares cash inflows with cash outflows. Positive net present value indicates that an investment is worthwhile. See also internal rate of return; return on investment.

normal change (ITIL Service Transition) A change that is not an emergency change or a standard change. Normal changes follow the defined steps of the change management process.

normal service operation (ITIL Service Operation) An operational state where services and configuration items are performing within their agreed service and operational levels.

notional charging (ITIL Service Strategy) An approach to charging for IT services. Charges to customers are calculated and customers are informed of the charge, but no money is actually transferred. Notional charging is sometimes introduced to ensure that customers are aware of the costs they incur, or as a stage during the introduction of real charging.

objective The outcomes required from a process, activity or organization in order to ensure that its purpose will be fulfilled. Objectives are usually expressed as measurable targets. The term is also informally used to mean a requirement.



50

Term Definition

off the shelf See commercial off the shelf.

Office of Government Commerce (OGC) OGC (former owner of Best Management Practice) and its functions have moved into the Cabinet Office as part of HM Government. See www.cabinetoffice.gov.uk

offshore (ITIL Service Strategy) Provision of services from a location outside the country where the customer is based, often in a different continent. This can be the provision of an IT service, or of supporting functions such as a service desk. See also near-shore; onshore.

onshore (ITIL Service Strategy) Provision of services from a location within the country where the customer is based. See also near-shore; offshore.

operate To perform as expected. A process or configuration item is said to operate if it is delivering the required outputs. Operate also means to perform one or more operations. For example, to operate a computer is to do the day-to-day operations needed for it to perform as expected.

operation (ITIL Service Operation) Day-to-day management of an IT service, system or other configuration item. Operation is also used to mean any predefined activity or transaction – for example, loading a magnetic tape, accepting money at a point of sale, or reading data from a disk drive.

operational The lowest of three levels of planning and delivery (strategic, tactical, operational). Operational activities include the day-to-day or short-term planning or delivery of a business process or IT service management process. The term is also a synonym for live.

operational cost The cost resulting from running the IT services, which often involves repeating payments – for example, staff costs, hardware maintenance and electricity (also known as current expenditure or revenue expenditure). See also capital expenditure.

operational expenditure (OPEX) See operational cost.



51

Term Definition

operational level agreement (OLA) (ITIL Continual Service Improvement) (ITIL Service Design) An agreement between an IT service provider and another part of the same organization. It supports the IT service provider’s delivery of IT services to customers and defines the goods or services to be provided and the responsibilities of both parties. For example, there could be an operational level agreement:

Between the IT service provider and a procurement department to obtain hardware in agreed times

Between the service desk and a support group to provide incident resolution in agreed times.

See also service level agreement.

operations bridge (ITIL Service Operation) A physical location where IT services and IT infrastructure are monitored and managed.

operations control See IT operations control.

operations management See IT operations management.

opportunity cost (ITIL Service Strategy) A cost that is used in deciding between investment choices. Opportunity cost represents the revenue that would have been generated by using the resources in a different way. For example, the opportunity cost of purchasing a new server may include not carrying out a service improvement activity that the money could have been spent on. Opportunity cost analysis is used as part of a decision-making process, but opportunity cost is not treated as an actual cost in any financial statement.

optimize Review, plan and request changes, in order to obtain the maximum efficiency and effectiveness from a process, configuration item, application etc.

organization A company, legal entity or other institution. The term is sometimes used to refer to any entity that has people, resources and budgets – for example, a project or business unit.



52

Term Definition

outcome The result of carrying out an activity, following a process, or delivering an IT service etc. The term is used to refer to intended results as well as to actual results. See also objective.

outsourcing (ITIL Service Strategy) Using an external service provider to manage IT services. Seealso service sourcing.

overhead See indirect cost.

pain value analysis (ITIL Service Operation) A technique used to help identify the business impact of one or more problems. A formula is used to calculate pain value based on the number of users affected, the duration of the downtime, the impact on each user, and the cost to the business (if known).

Pareto principle (ITIL Service Operation) A technique used to prioritize activities. The Pareto principle says that 80% of the value of any activity is created with 20% of the effort. Pareto analysis is also used in problem management to prioritize possible problem causes for investigation.

partnership A relationship between two organizations that involves working closely together for common goals or mutual benefit. The IT service provider should have a partnership with the business and with third parties who are critical to the delivery of IT services. See alsovalue network.

passive monitoring (ITIL Service Operation) Monitoring of a configuration item, an IT service or a process that relies on an alert or notification to discover the current status. See also active monitoring.

pattern of business activity (PBA) (ITIL Service Strategy) A workload profile of one or more business activities. Patterns of business activity are used to help the IT service provider understand and plan for different levels of business activity. See alsouser profile.



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Term Definition

percentage utilization (ITIL Service Design) The amount of time that a component is busy over a given period of time. For example, if a CPU is busy for 1,800 seconds in a one-hour period, its utilization is 50%.

performance A measure of what is achieved or delivered by a system, person, team, process or IT service.

performance management Activities to ensure that something achieves its expected outcomes in an efficient and consistent manner.

pilot (ITIL Service Transition) A limited deployment of an IT service, a release or a process to the live environment. A pilot is used to reduce risk and to gain user feedback and acceptance. See also change evaluation; test.

plan A detailed proposal that describes the activities and resources needed to achieve an objective – for example, a plan to implement a new IT service or process. ISO/IEC 20000 requires a plan for the management of each IT service management process.

Plan-Do-Check-Act (PDCA) (ITIL Continual Service Improvement) A four-stage cycle for process management, attributed to Edward Deming. Plan-Do-Check-Act is also called the Deming Cycle. Plan – design or revise processes that support the IT services; Do – implement the plan and manage the processes; Check – measure the processes and IT services, compare with objectives and produce reports; Act – plan and implement changes to improve the processes.

planned downtime (ITIL Service Design) Agreed time when an IT service will not be available. Planned downtime is often used for maintenance, upgrades and testing. See also change window; downtime.

planning An activity responsible for creating one or more plans – for example, capacity planning.



54

Term Definition

policy Formally documented management expectations and intentions. Policies are used to direct decisions, and to ensure consistent and appropriate development and implementation of processes, standards, roles, activities, IT infrastructure etc.

portable facility (ITIL Service Design) A prefabricated building, or a large vehicle, provided by a third party and moved to a site when needed according to an IT service continuity plan. See also fixed facility; recovery option.

post-implementation review (PIR) A review that takes place after a change or a project has been implemented. It determines if the change or project was successful, and identifies opportunities for improvement.

practice A way of working, or a way in which work must be done. Practices can include activities, processes, functions, standards and guidelines. See also best practice.

prerequisite for success (PFS) An activity that needs to be completed, or a condition that needs to be met, to enable successful implementation of a plan or process. It is often an output from one process that is a required input to another process.

pricing (ITIL Service Strategy) Pricing is the activity for establishing how much customers will be charged.

PRINCE2® See PRojects IN Controlled Environments.

priority (ITIL Service Operation) (ITIL Service Transition) A category used to identify the relative importance of an incident, problem or change. Priority is based on impact and urgency, and is used to identify required times for actions to be taken. For example, the service level agreement may state that Priority 2 incidents must be resolved within 12 hours.

proactive monitoring (ITIL Service Operation) Monitoring that looks for patterns of events to predict possible future failures. See also reactive monitoring.



55

Term Definition

proactive problem management (ITIL Service Operation) Part of the problem management process. The objective of proactive problem management is to identify problems that might otherwise be missed. Proactive problem management analyses incident records, and uses data collected by other IT service management processes to identify trends or significant problems.

problem (ITIL Service Operation) A cause of one or more incidents. The cause is not usually known at the time a problem record is created, and the problem management process is responsible for further investigation.

problem management (ITIL Service Operation) The process responsible for managing the lifecycle of all problems. Problem management proactively prevents incidents from happening and minimizes the impact of incidents that cannot be prevented.

problem record (ITIL Service Operation) A record containing the details of a problem. Each problem record documents the lifecycle of a single problem.

procedure A document containing steps that specify how to achieve an activity. Procedures are defined as part of processes. See also work instruction.

process A structured set of activities designed to accomplish a specific objective. A process takes one or more defined inputs and turns them into defined outputs. It may include any of the roles, responsibilities, tools and management controls required to reliably deliver the outputs. A process may define policies, standards, guidelines, activities and work instructions if they are needed.

process control The activity of planning and regulating a process, with the objective of performing the process in an effective, efficient and consistent manner.



56

Term Definition

process manager A role responsible for the operational management of a process. The process manager’s responsibilities include planning and coordination of all activities required to carry out, monitor and report on the process. There may be several process managers for one process – for example, regional change managers or IT service continuity managers for each data centre. The process manager role is often assigned to the person who carries out the process owner role, but the two roles may be separate in larger organizations.

process owner The person who is held accountable for ensuring that a process is fit for purpose. The process owner’s responsibilities include sponsorship, design, change management and continual improvement of the process and its metrics. This role can be assigned to the same person who carries out the process manager role, but the two roles may be separate in larger organizations.

production environment See live environment.

profit centre (ITIL Service Strategy) A business unit that charges for services provided. A profit centre can be created with the objective of making a profit, recovering costs, or running at a loss. An IT service provider can be run as a cost centre or a profit centre.

pro-forma A template or example document containing sample data that will be replaced with real values when these are available.

programme A number of projects and activities that are planned and managed together to achieve an overall set of related objectives and other outcomes.

project A temporary organization, with people and other assets, that is required to achieve an objective or other outcome. Each project has a lifecycle that typically includes initiation, planning, execution, and closure. Projects are usually managed using a formal methodology such as PRojects IN Controlled Environments (PRINCE2) or the Project Management Body of Knowledge (PMBOK). See also charter; project management office; project portfolio.



57

Term Definition

project charter See charter.

Project Management Body of Knowledge (PMBOK)

A project management standard maintained and published by the Project Management Institute. See www.pmi.org for more information. See also PRojects IN Controlled Environments (PRINCE2).

Project Management Institute (PMI) A membership association that advances the project management profession through globally recognized standards and certifications, collaborative communities, an extensive research programme, and professional development opportunities. PMI is a not-for-profit membership organization with representation in many countries around the world. PMI maintains and publishes the Project Management Body of Knowledge (PMBOK). See www.pmi.org for more information. See also PRojects IN Controlled Environments (PRINCE2).

project management office (PMO) (ITIL Service Design) (ITIL Service Strategy)A function or group responsible for managing the lifecycle of projects. See also charter; project portfolio.

project portfolio (ITIL Service Design) (ITIL Service Strategy)A database or structured document used to manage projects throughout their lifecycle. The project portfolio is used to coordinate projects and ensure that they meet their objectives in a cost-effective and timely manner. In larger organizations, the project portfolio is typically defined and maintained by a project management office. The project portfolio is important to service portfolio management as new services and significant changes are normally managed as projects. See also charter.

projected service outage (PSO) (ITIL Service Transition) A document that identifies the effect of planned changes, maintenance activities and test plans on agreed service levels.

PRojects IN Controlled Environments (PRINCE2)

The standard UK government methodology for project management. See www.prince-officialsite.com for more information. Seealso Project Management Body of Knowledge (PMBOK).



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Term Definition

qualification (ITIL Service Transition) An activity that ensures that the IT infrastructure is appropriate and correctly configured to support an application or IT service. See alsovalidation.

quality The ability of a product, service or process to provide the intended value. For example, a hardware component can be considered to be of high quality if it performs as expected and delivers the required reliability. Process quality also requires an ability to monitor effectiveness and efficiency, and to improve them if necessary. See also quality management system.

quality assurance (QA) (ITIL Service Transition) The process responsible for ensuring that the quality of a service, process or other service asset will provide its intended value. Quality assurance is also used to refer to a function or team that performs quality assurance. This process is not described in detail within the core ITIL publications. See also service validation and testing.

quality management system (QMS) (ITIL Continual Service Improvement) The framework of policy, processes, functions, standards, guidelines and tools that ensures an organization is of a suitable quality to reliably meet business objectives or service levels. See also ISO 9000.

quick win (ITIL Continual Service Improvement) An improvement activity that is expected to provide a return on investment in a short period of time with relatively small cost and effort. See also Pareto principle.

RACI (ITIL Service Design) A model used to help define roles and responsibilities. RACI stands for responsible, accountable, consulted and informed.

reactive monitoring (ITIL Service Operation) Monitoring that takes place in response to an event. For example, submitting a batch job when the previous job completes, or logging an incident when an error occurs. See alsoproactive monitoring.



59

Term Definition

real charging (ITIL Service Strategy) A charging policy where actual money is transferred from the customer to the IT service provider in payment for the delivery of IT services. Seealso notional charging.

reciprocal arrangement (ITIL Service Design) A recovery option. An agreement between two organizations to share resources in an emergency – for example, high-speed printing facilities or computer room space.

record A document containing the results or other output from a process or activity. Records are evidence of the fact that an activity took place and may be paper or electronic – for example, an audit report, an incident record or the minutes of a meeting.

recovery (ITIL Service Design) (ITIL Service Operation) Returning a configuration item or an IT service to a working state. Recovery of an IT service often includes recovering data to a known consistent state. After recovery, further steps may be needed before the IT service can be made available to the users (restoration).

recovery option (ITIL Service Design) A strategy for responding to an interruption to service. Commonly used strategies are manual workaround, reciprocal arrangement, gradual recovery, intermediate recovery, fast recovery, and immediate recovery. Recovery options may make use of dedicated facilities or third-party facilities shared by multiple businesses.

recovery point objective (RPO) (ITIL Service Design) (ITIL Service Operation) The maximum amount of data that may be lost when service is restored after an interruption. The recovery point objective is expressed as a length of time before the failure. For example, a recovery point objective of one day may be supported by daily backups, and up to 24 hours of data may be lost. Recovery point objectives for each IT service should be negotiated, agreed and documented, and used as requirements for service design and IT service continuity plans.



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Term Definition

recovery time objective (RTO) (ITIL Service Design) (ITIL Service Operation) The maximum time allowed for the recovery of an IT service following an interruption. The service level to be provided may be less than normal service level targets. Recovery time objectives for each IT service should be negotiated, agreed and documented. See also business impact analysis.

redundancy (ITIL Service Design) Use of one or more additional configuration items to provide fault tolerance. The term also has a generic meaning of obsolescence, or no longer needed.

relationship A connection or interaction between two people or things. In business relationship management, it is the interaction between the IT service provider and the business. In service asset and configuration management, it is a link between two configuration items that identifies a dependency or connection between them. For example, applications may be linked to the servers they run on, and IT services have many links to all the configuration items that contribute to that IT service.

relationship processes The ISO/IEC 20000 process group that includes business relationship management and supplier management.

release (ITIL Service Transition) One or more changes to an IT service that are built, tested and deployed together. A single release may include changes to hardware, software, documentation, processes and other components.

release and deployment management (ITIL Service Transition) The process responsible for planning, scheduling and controlling the build, test and deployment of releases, and for delivering new functionality required by the business while protecting the integrity of existing services.

release identification (ITIL Service Transition) A naming convention used to uniquely identify a release. The release identification typically includes a reference to the configuration item and a version number – for example, Microsoft Office 2010 SR2.



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Term Definition

release management See release and deployment management.

release package (ITIL Service Transition) A set of configuration items that will be built, tested and deployed together as a single release. Each release package will usually include one or more release units.

release record (ITIL Service Transition) A record that defines the content of a release. A release record has relationships with all configuration items that are affected by the release. Release records may be in the configuration management system or elsewhere in the service knowledge management system.

release unit (ITIL Service Transition) Components of an IT service that are normally released together. A release unit typically includes sufficient components to perform a useful function. For example, one release unit could be a desktop PC, including hardware, software, licences, documentation etc. A different release unit may be the complete payroll application, including IT operations procedures and user training.

release window See change window.

reliability (ITIL Continual Service Improvement) (ITIL Service Design) A measure of how long an IT service or other configuration item can perform its agreed function without interruption. Usually measured as MTBF or MTBSI. The term can also be used to state how likely it is that a process, function etc. will deliver its required outputs. See alsoavailability.

remediation (ITIL Service Transition) Actions taken to recover after a failed change or release. Remediation may include back-out, invocation of service continuity plans, or other actions designed to enable the business process to continue.

repair (ITIL Service Operation) The replacement or correction of a failed configuration item.



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Term Definition

request for change (RFC) (ITIL Service Transition) A formal proposal for a change to be made. It includes details of the proposed change, and may be recorded on paper or electronically. The term is often misused to mean a change record, or the change itself.

request fulfilment (ITIL Service Operation) The process responsible for managing the lifecycle of all service requests.

request model (ITIL Service Operation) A repeatable way of dealing with a particular category of service request. A request model defines specific agreed steps that will be followed for a service request of this category. Request models may be very simple, with no requirement for authorization (e.g. password reset), or may be more complex with many steps that require authorization (e.g. provision of an existing IT service). See alsorequest fulfilment.

requirement (ITIL Service Design) A formal statement of what is needed – for example, a service level requirement, a project requirement or the required deliverables for a process. See alsostatement of requirements.

resilience (ITIL Service Design) The ability of an IT service or other configuration item to resist failure or to recover in a timely manner following a failure. For example, an armoured cable will resist failure when put under stress. See also fault tolerance.

resolution (ITIL Service Operation) Action taken to repair the root cause of an incident or problem, or to implement a workaround. In ISO/IEC 20000, resolution processes is the process group that includes incident and problem management.

resolution processes The ISO/IEC 20000 process group that includes incident and problem management.

resource (ITIL Service Strategy) A generic term that includes IT infrastructure, people, money or anything else that might help to deliver an IT service. Resources are considered to be assets of an organization. See alsocapability; service asset.



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Term Definition

response time A measure of the time taken to complete an operation or transaction. Used in capacity management as a measure of IT infrastructure performance, and in incident management as a measure of the time taken to answer the phone, or to start diagnosis.

responsiveness A measurement of the time taken to respond to something. This could be response time of a transaction, or the speed with which an IT service provider responds to an incident or request for change etc.

restoration of service See restore.

restore (ITIL Service Operation) Taking action to return an IT service to the users after repair and recovery from an incident. This is the primary objective of incident management.

retire (ITIL Service Transition) Permanent removal of an IT service, or other configuration item, from the live environment. Being retired is a stage in the lifecycle of many configuration items.

return on assets (ROA) (ITIL Service Strategy) A measurement of the profitability of a business unit or organization. Return on assets is calculated by dividing the annual net income by the total value of assets. See also return on investment.

return on investment (ROI) (ITIL Continual Service Improvement) (ITIL Service Strategy) A measurement of the expected benefit of an investment. In the simplest sense, it is the net profit of an investment divided by the net worth of the assets invested. See also net present value; value on investment.

return to normal (ITIL Service Design) The phase of an IT service continuity plan during which full normal operations are resumed. For example, if an alternative data centre has been in use, then this phase will bring the primary data centre back into operation, and restore the ability to invoke IT service continuity plans again.



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Term Definition

review An evaluation of a change, problem, process, project etc. Reviews are typically carried out at predefined points in the lifecycle, and especially after closure. The purpose of a review is to ensure that all deliverables have been provided, and to identify opportunities for improvement. See also change evaluation; post-implementation review.

rights (ITIL Service Operation) Entitlements, or permissions, granted to a user or role – for example, the right to modify particular data, or to authorize a change.

risk A possible event that could cause harm or loss, or affect the ability to achieve objectives. A risk is measured by the probability of a threat, the vulnerability of the asset to that threat, and the impact it would have if it occurred. Risk can also be defined as uncertainty of outcome, and can be used in the context of measuring the probability of positive outcomes as well as negative outcomes.

risk assessment The initial steps of risk management: analysing the value of assets to the business, identifying threats to those assets, and evaluating how vulnerable each asset is to those threats. Risk assessment can be quantitative (based on numerical data) or qualitative.

risk management The process responsible for identifying, assessing and controlling risks. Risk management is also sometimes used to refer to the second part of the overall process after risks have been identified and assessed, as in ‘risk assessment and management’. This process is not described in detail within the core ITIL publications. See also risk assessment.

role A set of responsibilities, activities and authorities assigned to a person or team. A role is defined in a process or function. One person or team may have multiple roles – for example, the roles of configuration manager and change manager may be carried out by a single person. Role is also used to describe the purpose of something or what it is used for.



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Term Definition

root cause (ITIL Service Operation) The underlying or original cause of an incident or problem.

root cause analysis (RCA) (ITIL Service Operation) An activity that identifies the root cause of an incident or problem. Root cause analysis typically concentrates on IT infrastructure failures. See also service failure analysis.

running costs See operational costs.

Sarbanes-Oxley (SOX) US law that regulates financial practice and corporate governance.

scalability The ability of an IT service, process, configuration item etc. to perform its agreed function when the workload or scope changes.

scope The boundary or extent to which a process, procedure, certification, contract etc. applies. For example, the scope of change management may include all live IT services and related configuration items; the scope of an ISO/IEC 20000 certificate may include all IT services delivered out of a named data centre.

second-line support (ITIL Service Operation) The second level in a hierarchy of support groups involved in the resolution of incidents and investigation of problems. Each level contains more specialist skills, or has more time or other resources.

security See information security management.

security management See information security management.

security management information system (SMIS)

(ITIL Service Design) A set of tools, data and information that is used to support information security management. The security management information system is part of the information security management system. See also service knowledge management system.

security policy See information security policy.



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Term Definition

separation of concerns (SoC) An approach to designing a solution or IT service that divides the problem into pieces that can be solved independently. This approach separates what is to be done from how it is to be done.

server (ITIL Service Operation) A computer that is connected to a network and provides software functions that are used by other computers.

service A means of delivering value to customers by facilitating outcomes customers want to achieve without the ownership of specific costs and risks. The term ‘service’ is sometimes used as a synonym for core service, IT service or service package. Seealso utility; warranty.

service acceptance criteria (SAC) (ITIL Service Transition) A set of criteria used to ensure that an IT service meets its functionality and quality requirements and that the IT service provider is ready to operate the new IT service when it has been deployed. See also acceptance.

service analytics (ITIL Service Strategy) A technique used in the assessment of the business impact of incidents. Service analytics models the dependencies between configuration items, and the dependencies of IT services on configuration items.

service asset Any resource or capability of a service provider. See also asset.

service asset and configuration management (SACM)

(ITIL Service Transition) The process responsible for ensuring that the assets required to deliver services are properly controlled, and that accurate and reliable information about those assets is available when and where it is needed. This information includes details of how the assets have been configured and the relationships between assets. See also configuration management system.



67

Term Definition

service capacity management (SCM) (ITIL Continual Service Improvement) (ITIL Service Design) The sub-process of capacity management responsible for understanding the performance and capacity of IT services. Information on the resources used by each IT service and the pattern of usage over time are collected, recorded and analysed for use in the capacity plan. See also business capacity management; component capacity management.

service catalogue (ITIL Service Design) (ITIL Service Strategy)A database or structured document with information about all live IT services, including those available for deployment. The service catalogue is part of the service portfolio and contains information about two types of IT service: customer-facing services that are visible to the business; and supporting services required by the service provider to deliver customer-facing services. See also customer agreement portfolio; service catalogue management.

service catalogue management (ITIL Service Design) The process responsible for providing and maintaining the service catalogue and for ensuring that it is available to those who are authorized to access it.

service change See change.

service charter (ITIL Service Design) (ITIL Service Strategy)A document that contains details of a new or changed service. New service introductions and significant service changes are documented in a charter and authorized by service portfolio management. Service charters are passed to the service design lifecycle stage where a new or modified service design package will be created. The term charter is also used to describe the act of authorizing the work required by each stage of the service lifecycle with respect to the new or changed service. See alsochange proposal; service portfolio; service catalogue.

service continuity management See IT service continuity management.



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Term Definition

service contract (ITIL Service Strategy) A contract to deliver one or more IT services. The term is also used to mean any agreement to deliver IT services, whether this is a legal contract or a service level agreement. See also customer agreement portfolio.

service culture A customer-oriented culture. The major objectives of a service culture are customer satisfaction and helping customers to achieve their business objectives.

service design (ITIL Service Design) A stage in the lifecycle of a service. Service design includes the design of the services, governing practices, processes and policies required to realize the service provider’s strategy and to facilitate the introduction of services into supported environments. Service design includes the following processes: design coordination, service catalogue management, service level management, availability management, capacity management, IT service continuity management, information security management, and supplier management. Although these processes are associated with service design, most processes have activities that take place across multiple stages of the service lifecycle. See alsodesign.

service design package (SDP) (ITIL Service Design) Document(s) defining all aspects of an IT service and its requirements through each stage of its lifecycle. A service design package is produced for each new IT service, major change or IT service retirement.

service desk (ITIL Service Operation) The single point of contact between the service provider and the users. A typical service desk manages incidents and service requests, and also handles communication with the users.

service failure analysis (SFA) (ITIL Service Design) A technique that identifies underlying causes of one or more IT service interruptions. Service failure analysis identifies opportunities to improve the IT service provider’s processes and tools, and not just the IT infrastructure. It is a time-constrained, project-like activity, rather than an ongoing process of analysis.



69

Term Definition

service hours (ITIL Service Design) An agreed time period when a particular IT service should be available. For example, ‘Monday–Friday 08:00 to 17:00 except public holidays’. Service hours should be defined in a service level agreement.

service improvement plan (SIP) (ITIL Continual Service Improvement) A formal plan to implement improvements to a process or IT service.

service knowledge management system (SKMS)

(ITIL Service Transition) A set of tools and databases that is used to manage knowledge, information and data. The service knowledge management system includes the configuration management system, as well as other databases and information systems. The service knowledge management system includes tools for collecting, storing, managing, updating, analysing and presenting all the knowledge, information and data that an IT service provider will need to manage the full lifecycle of IT services. Seealso knowledge management.

service level Measured and reported achievement against one or more service level targets. The term is sometimes used informally to mean service level target.

service level agreement (SLA) (ITIL Continual Service Improvement) (ITIL Service Design) An agreement between an IT service provider and a customer. A service level agreement describes the IT service, documents service level targets, and specifies the responsibilities of the IT service provider and the customer. A single agreement may cover multiple IT services or multiple customers. See also operational level agreement.

service level management (SLM) (ITIL Service Design) The process responsible for negotiating achievable service level agreements and ensuring that these are met. It is responsible for ensuring that all IT service management processes, operational level agreements and underpinning contracts are appropriate for the agreed service level targets. Service level management monitors and reports on service levels, holds regular service reviews with customers, and identifies required improvements.



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Term Definition

service level package (SLP) See service option.

service level requirement (SLR) (ITIL Continual Service Improvement) (ITIL Service Design) A customer requirement for an aspect of an IT service. Service level requirements are based on business objectives and used to negotiate agreed service level targets.

service level target (ITIL Continual Service Improvement) (ITIL Service Design) A commitment that is documented in a service level agreement. Service level targets are based on service level requirements, and are needed to ensure that the IT service is able to meet business objectives. They should be SMART, and are usually based on key performance indicators.

service lifecycle An approach to IT service management that emphasizes the importance of coordination and control across the various functions, processes and systems necessary to manage the full lifecycle of IT services. The service lifecycle approach considers the strategy, design, transition, operation and continual improvement of IT services. Also known as service management lifecycle.

service maintenance objective (SMO) (ITIL Service Operation) The expected time that a configuration item will be unavailable due to planned maintenance activity.

service management A set of specialized organizational capabilities for providing value to customers in the form of services.

service management lifecycle See service lifecycle.

service manager A generic term for any manager within the service provider. Most commonly used to refer to a business relationship manager, a process manager or a senior manager with responsibility for IT services overall.

service model (ITIL Service Strategy) A model that shows how service assets interact with customer assets to create value. Service models describe the structure of a service (how the configuration items fit together) and the dynamics of the service (activities, flow of resources and interactions). A service model can be used as a template or blueprint for multiple services.



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Term Definition

service operation (ITIL Service Operation) A stage in the lifecycle of a service. Service operation coordinates and carries out the activities and processes required to deliver and manage services at agreed levels to business users and customers. Service operation also manages the technology that is used to deliver and support services. Service operation includes the following processes: event management, incident management, request fulfilment, problem management, and access management. Service operation also includes the following functions: service desk, technical management, IT operations management, and application management. Although these processes and functions are associated with service operation, most processes and functions have activities that take place across multiple stages of the service lifecycle. See also operation.

service option (ITIL Service Design) (ITIL Service Strategy)A choice of utility and warranty offered to customers by a core service or service package. Service options are sometimes referred to as service level packages.

service owner (ITIL Service Strategy) A role responsible for managing one or more services throughout their entire lifecycle. Service owners are instrumental in the development of service strategy and are responsible for the content of the service portfolio. See also business relationship management.

service package (ITIL Service Strategy) Two or more services that have been combined to offer a solution to a specific type of customer need or to underpin specific business outcomes. A service package can consist of a combination of core services, enabling services and enhancing services. A service package provides a specific level of utility and warranty. Customers may be offered a choice of utility and warranty through one or more service options. See also IT service.



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Term Definition

service pipeline (ITIL Service Strategy) A database or structured document listing all IT services that are under consideration or development, but are not yet available to customers. The service pipeline provides a business view of possible future IT services and is part of the service portfolio that is not normally published to customers.

service portfolio (ITIL Service Strategy) The complete set of services that is managed by a service provider. The service portfolio is used to manage the entire lifecycle of all services, and includes three categories: service pipeline (proposed or in development), service catalogue (live or available for deployment), and retired services. See alsocustomer agreement portfolio; service portfolio management.

service portfolio management (SPM) (ITIL Service Strategy) The process responsible for managing the service portfolio. Service portfolio management ensures that the service provider has the right mix of services to meet required business outcomes at an appropriate level of investment. Service portfolio management considers services in terms of the business value that they provide.

service potential (ITIL Service Strategy) The total possible value of the overall capabilities and resources of the IT service provider.

service provider (ITIL Service Strategy) An organization supplying services to one or more internal customers or external customers. Service provider is often used as an abbreviation for IT service provider. See also Type I service provider; Type II service provider; Type III service provider.

service provider interface (SPI) (ITIL Service Strategy) An interface between the IT service provider and a user, customer, business process or supplier. Analysis of service provider interfaces helps to coordinate end-to-end management of IT services.



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Term Definition

service reporting (ITIL Continual Service Improvement)Activities that produce and deliver reports of achievement and trends against service levels. The format, content and frequency of reports should be agreed with customers.

service request (ITIL Service Operation) A formal request from a user for something to be provided – for example, a request for information or advice; to reset a password; or to install a workstation for a new user. Service requests are managed by the request fulfilment process, usually in conjunction with the service desk. Service requests may be linked to a request for change as part of fulfilling the request.

service sourcing (ITIL Service Strategy) The strategy and approach for deciding whether to provide a service internally, to outsource it to an external service provider, or to combine the two approaches. Service sourcing also means the execution of this strategy. Seealso insourcing; internal service provider; outsourcing.

service strategy (ITIL Service Strategy) A stage in the lifecycle of a service. Service strategy defines the perspective, position, plans and patterns that a service provider needs to execute to meet an organization’s business outcomes. Service strategy includes the following processes: strategy management for IT services, service portfolio management, financial management for IT services, demand management, and business relationship management. Although these processes are associated with service strategy, most processes have activities that take place across multiple stages of the service lifecycle.



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Term Definition

service transition (ITIL Service Transition) A stage in the lifecycle of a service. Service transition ensures that new, modified or retired services meet the expectations of the business as documented in the service strategy and service design stages of the lifecycle. Service transition includes the following processes: transition planning and support, change management, service asset and configuration management, release and deployment management, service validation and testing, change evaluation, and knowledge management. Although these processes are associated with service transition, most processes have activities that take place across multiple stages of the service lifecycle. See also transition.

service validation and testing (ITIL Service Transition) The process responsible for validation and testing of a new or changed IT service. Service validation and testing ensures that the IT service matches its design specification and will meet the needs of the business.

service valuation (ITIL Service Strategy) A measurement of the total cost of delivering an IT service, and the total value to the business of that IT service. Service valuation is used to help the business and the IT service provider agree on the value of the IT service.

serviceability (ITIL Continual Service Improvement) (ITIL Service Design) The ability of a third-party supplier to meet the terms of its contract. This contract will include agreed levels of reliability, maintainability and availability for a configuration item.

seven-step improvement process (ITIL Continual Service Improvement) The process responsible for defining and managing the steps needed to identify, define, gather, process, analyse, present and implement improvements. The performance of the IT service provider is continually measured by this process and improvements are made to processes, IT services and IT infrastructure in order to increase efficiency, effectiveness and cost effectiveness. Opportunities for improvement are recorded and managed in the CSI register.

shared service unit See Type II service provider.



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Term Definition

shift (ITIL Service Operation) A group or team of people who carry out a specific role for a fixed period of time. For example, there could be four shifts of IT operations control personnel to support an IT service that is used 24 hours a day.

simulation modelling (ITIL Continual Service Improvement) (ITIL Service Design) A technique that creates a detailed model to predict the behaviour of an IT service or other configuration item. A simulation model is often created by using the actual configuration items that are being modelled with artificial workloads or transactions. They are used in capacity management when accurate results are important. A simulation model is sometimes called a performance benchmark. See alsoanalytical modelling; modelling.

single point of contact (ITIL Service Operation) Providing a single consistent way to communicate with an organization or business unit. For example, a single point of contact for an IT service provider is usually called a service desk.

single point of failure (SPOF) (ITIL Service Design) Any configuration item that can cause an incident when it fails, and for which a countermeasure has not been implemented. A single point of failure may be a person or a step in a process or activity, as well as a component of the IT infrastructure. See also failure.

SLAM chart (ITIL Continual Service Improvement) A service level agreement monitoring chart is used to help monitor and report achievements against service level targets. A SLAM chart is typically colour-coded to show whether each agreed service level target has been met, missed or nearly missed during each of the previous 12 months.

SMART (ITIL Continual Service Improvement) (ITIL Service Design) An acronym for helping to remember that targets in service level agreements and project plans should be specific, measurable, achievable, relevant and time-bound.



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Term Definition

snapshot (ITIL Continual Service Improvement) (ITIL Service Transition) The current state of a configuration item, process or any other set of data recorded at a specific point in time. Snapshots can be captured by discovery tools or by manual techniques such as an assessment. See also baseline; benchmark.

software asset management (SAM) (ITIL Service Transition) The process responsible for tracking and reporting the use and ownership of software assets throughout their lifecycle. Software asset management is part of an overall service asset and configuration management process. This process is not described in detail within the core ITIL publications.

source See service sourcing.

specification A formal definition of requirements. A specification may be used to define technical or operational requirements, and may be internal or external. Many public standards consist of a code of practice and a specification. The specification defines the standard against which an organization can be audited.

stakeholder A person who has an interest in an organization, project, IT service etc. Stakeholders may be interested in the activities, targets, resources or deliverables. Stakeholders may include customers, partners, employees, shareholders, owners etc. See also RACI.

standard A mandatory requirement. Examples include ISO/IEC 20000 (an international standard), an internal security standard for Unix configuration, or a government standard for how financial records should be maintained. The term is also used to refer to a code of practice or specification published by a standards organization such as ISO or BSI. See also guideline.



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Term Definition

standard change (ITIL Service Transition) A pre-authorized change that is low risk, relatively common and follows a procedure or work instruction – for example, a password reset or provision of standard equipment to a new employee. Requests for change are not required to implement a standard change, and they are logged and tracked using a different mechanism, such as a service request. Seealso change model.

standard operating procedures (SOP) (ITIL Service Operation) Procedures used by IT operations management.

standby (ITIL Service Design) Used to refer to resources that are not required to deliver the live IT services, but are available to support IT service continuity plans. For example, a standby data centre may be maintained to support hot standby, warm standby or cold standby arrangements.

statement of requirements (SOR) (ITIL Service Design) A document containing all requirements for a product purchase, or a new or changed IT service. See also terms of reference.

status The name of a required field in many types of record. It shows the current stage in the lifecycle of the associated configuration item, incident, problem etc.

status accounting (ITIL Service Transition) The activity responsible for recording and reporting the lifecycle of each configuration item.

storage management (ITIL Service Operation) The process responsible for managing the storage and maintenance of data throughout its lifecycle.

strategic (ITIL Service Strategy) The highest of three levels of planning and delivery (strategic, tactical, operational). Strategic activities include objective setting and long-term planning to achieve the overall vision.



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Term Definition

strategic asset (ITIL Service Strategy) Any asset that provides the basis for core competence, distinctive performance or sustainable competitive advantage, or which allows a business unit to participate in business opportunities. Part of service strategy is to identify how IT can be viewed as a strategic asset rather than an internal administrative function.

strategy (ITIL Service Strategy) A strategic plan designed to achieve defined objectives.

strategy management for IT services (ITIL Service Strategy) The process responsible for defining and maintaining an organization’s perspective, position, plans and patterns with regard to its services and the management of those services. Once the strategy has been defined, strategy management for IT services is also responsible for ensuring that it achieves its intended business outcomes.

super user (ITIL Service Operation) A user who helps other users, and assists in communication with the service desk or other parts of the IT service provider. Super users are often experts in the business processes supported by an IT service and will provide support for minor incidents and training.

supplier (ITIL Service Design) (ITIL Service Strategy)A third party responsible for supplying goods or services that are required to deliver IT services. Examples of suppliers include commodity hardware and software vendors, network and telecom providers, and outsourcing organizations. See also supply chain; underpinning contract.

supplier and contract management information system (SCMIS)

(ITIL Service Design) A set of tools, data and information that is used to support supplier management. See also service knowledge management system.

supplier management (ITIL Service Design) The process responsible for obtaining value for money from suppliers, ensuring that all contracts and agreements with suppliers support the needs of the business, and that all suppliers meet their contractual commitments. See alsosupplier and contract management information system.



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Term Definition

supply chain (ITIL Service Strategy) The activities in a value chain carried out by suppliers. A supply chain typically involves multiple suppliers, each adding value to the product or service. See also value network.

support group (ITIL Service Operation) A group of people with technical skills. Support groups provide the technical support needed by all of the IT service management processes. See alsotechnical management.

support hours (ITIL Service Design) (ITIL Service Operation) The times or hours when support is available to the users. Typically these are the hours when the service desk is available. Support hours should be defined in a service level agreement, and may be different from service hours. For example, service hours may be 24 hours a day, but the support hours may be 07:00 to 19:00.

supporting service (ITIL Service Design) An IT service that is not directly used by the business, but is required by the IT service provider to deliver customer-facing services (for example, a directory service or a backup service). Supporting services may also include IT services only used by the IT service provider. All live supporting services, including those available for deployment, are recorded in the service catalogue along with information about their relationships to customer-facing services and other CIs.

SWOT analysis (ITIL Continual Service Improvement) A technique that reviews and analyses the internal strengths and weaknesses of an organization and the external opportunities and threats that it faces. SWOT stands for strengths, weaknesses, opportunities and threats.



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Term Definition

system A number of related things that work together to achieve an overall objective. For example:

A computer system including hardware, software and applications

A management system, including the framework of policy, processes, functions, standards, guidelines and tools that are planned and managed together – for example, a quality management system

A database management system or operating system that includes many software modules which are designed to perform a set of related functions.

system management The part of IT service management that focuses on the management of IT infrastructure rather than process.

tactical The middle of three levels of planning and delivery (strategic, tactical, operational). Tactical activities include the medium-term plans required to achieve specific objectives, typically over a period of weeks to months.

technical management (ITIL Service Operation) The function responsible for providing technical skills in support of IT services and management of the IT infrastructure. Technical management defines the roles of support groups, as well as the tools, processes and procedures required.

technical observation (TO) (ITIL Continual Service Improvement) (ITIL Service Operation) A technique used in service improvement, problem investigation and availability management. Technical support staff meet to monitor the behaviour and performance of an IT service and make recommendations for improvement.

technical support See technical management.



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Term Definition

tension metrics (ITIL Continual Service Improvement) A set of related metrics, in which improvements to one metric have a negative effect on another. Tension metrics are designed to ensure that an appropriate balance is achieved.

terms of reference (TOR) (ITIL Service Design) A document specifying the requirements, scope, deliverables, resources and schedule for a project or activity.

test (ITIL Service Transition) An activity that verifies that a configuration item, IT service, process etc. meets its specification or agreed requirements. See also acceptance; service validation and testing.

test environment (ITIL Service Transition) A controlled environment used to test configuration items, releases, IT services, processes etc.

third party A person, organization or other entity that is not part of the service provider’s own organization and is not a customer – for example, a software supplier or a hardware maintenance company. Requirements for third parties are typically specified in contracts that underpin service level agreements. See also underpinning contract.

third-line support (ITIL Service Operation) The third level in a hierarchy of support groups involved in the resolution of incidents and investigation of problems. Each level contains more specialist skills, or has more time or other resources.

threat A threat is anything that might exploit a vulnerability. Any potential cause of an incident can be considered a threat. For example, a fire is a threat that could exploit the vulnerability of flammable floor coverings. This term is commonly used in information security management and IT service continuity management, but also applies to other areas such as problem and availability management.



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Term Definition

threshold The value of a metric that should cause an alert to be generated or management action to be taken. For example, ‘Priority 1 incident not solved within four hours’, ‘More than five soft disk errors in an hour’, or ‘More than 10 failed changes in a month’.

throughput (ITIL Service Design) A measure of the number of transactions or other operations performed in a fixed time – for example, 5,000 e-mails sent per hour, or 200 disk I/Os per second.

total cost of ownership (TCO) (ITIL Service Strategy) A methodology used to help make investment decisions. It assesses the full lifecycle cost of owning a configuration item, not just the initial cost or purchase price. See also total cost of utilization.

total cost of utilization (TCU) (ITIL Service Strategy) A methodology used to help make investment and service sourcing decisions. Total cost of utilization assesses the full lifecycle cost to the customer of using an IT service. See alsototal cost of ownership.

total quality management (TQM) (ITIL Continual Service Improvement) A methodology for managing continual improvement by using a quality management system. Total quality management establishes a culture involving all people in the organization in a process of continual monitoring and improvement.

transaction A discrete function performed by an IT service – for example, transferring money from one bank account to another. A single transaction may involve numerous additions, deletions and modifications of data. Either all of these are completed successfully or none of them is carried out.

transfer cost (ITIL Service Strategy) A cost type which records expenditure made on behalf of another part of the organization. For example, the IT service provider may pay for an external consultant to be used by the finance department and transfer the cost to them. The IT service provider would record this as a transfer cost.



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Term Definition

transition (ITIL Service Transition) A change in state, corresponding to a movement of an IT service or other configuration item from one lifecycle status to the next.

transition planning and support (ITIL Service Transition) The process responsible for planning all service transition processes and coordinating the resources that they require.

trend analysis (ITIL Continual Service Improvement)Analysis of data to identify time-related patterns. Trend analysis is used in problem management to identify common failures or fragile configuration items, and in capacity management as a modelling tool to predict future behaviour. It is also used as a management tool for identifying deficiencies in IT service management processes.

tuning The activity responsible for planning changes to make the most efficient use of resources. Tuning is most commonly used in the context of IT services and components. Tuning is part of capacity management, which also includes performance monitoring and implementation of the required changes. Tuning is also called optimization, particularly in the context of processes and other non-technical resources.

Type I service provider (ITIL Service Strategy) An internal service provider that is embedded within a business unit. There may be several Type I service providers within an organization.

Type II service provider (ITIL Service Strategy) An internal service provider that provides shared IT services to more than one business unit. Type II service providers are also known as shared service units.

Type III service provider (ITIL Service Strategy) A service provider that provides IT services to external customers.



84

Term Definition

underpinning contract (UC) (ITIL Service Design) A contract between an IT service provider and a third party. The third party provides goods or services that support delivery of an IT service to a customer. The underpinning contract defines targets and responsibilities that are required to meet agreed service level targets in one or more service level agreements.

unit cost (ITIL Service Strategy) The cost to the IT service provider of providing a single component of an IT service. For example, the cost of a single desktop PC, or of a single transaction.

urgency (ITIL Service Design) (ITIL Service Transition) A measure of how long it will be until an incident, problem or change has a significant impact on the business. For example, a high-impact incident may have low urgency if the impact will not affect the business until the end of the financial year. Impact and urgency are used to assign priority.

usability (ITIL Service Design) The ease with which an application, product or IT service can be used. Usability requirements are often included in a statement of requirements.

use case (ITIL Service Design) A technique used to define required functionality and objectives, and to design tests. Use cases define realistic scenarios that describe interactions between users and an IT service or other system.

user A person who uses the IT service on a day-to-day basis. Users are distinct from customers, as some customers do not use the IT service directly.

user profile (UP) (ITIL Service Strategy) A pattern of user demand for IT services. Each user profile includes one or more patterns of business activity.



85

Term Definition

utility (ITIL Service Strategy) The functionality offered by a product or service to meet a particular need. Utility can be summarized as ‘what the service does’, and can be used to determine whether a service is able to meet its required outcomes, or is ‘fit for purpose’. The business value of an IT service is created by the combination of utility and warranty. See also service validation and testing.

validation (ITIL Service Transition) An activity that ensures a new or changed IT service, process, plan or other deliverable meets the needs of the business. Validation ensures that business requirements are met even though these may have changed since the original design. See also acceptance; qualification; service validation and testing; verification.

value chain (ITIL Service Strategy) A sequence of processes that creates a product or service that is of value to a customer. Each step of the sequence builds on the previous steps and contributes to the overall product or service. See also value network.

value for money An informal measure of cost effectiveness. Value for money is often based on a comparison with the cost of alternatives. Seealso cost benefit analysis.

value network (ITIL Service Strategy) A complex set of relationships between two or more groups or organizations. Value is generated through exchange of knowledge, information, goods or services. See also partnership; value chain.

value on investment (VOI) (ITIL Continual Service Improvement) A measurement of the expected benefit of an investment. Value on investment considers both financial and intangible benefits. Seealso return on investment.

variable cost (ITIL Service Strategy) A cost that depends on how much the IT service is used, how many products are produced, the number and type of users, or something else that cannot be fixed in advance.



86

Term Definition

variance The difference between a planned value and the actual measured value. Commonly used in financial management, capacity management and service level management, but could apply in any area where plans are in place.

verification (ITIL Service Transition) An activity that ensures that a new or changed IT service, process, plan or other deliverable is complete, accurate, reliable and matches its design specification. See also acceptance; validation; service validation and testing.

verification and audit (ITIL Service Transition) The activities responsible for ensuring that information in the configuration management system is accurate and that all configuration items have been identified and recorded. Verification includes routine checks that are part of other processes – for example, verifying the serial number of a desktop PC when a user logs an incident. Audit is a periodic, formal check.

version (ITIL Service Transition) A version is used to identify a specific baseline of a configuration item. Versions typically use a naming convention that enables the sequence or date of each baseline to be identified. For example, payroll application version 3 contains updated functionality from version 2.

vision A description of what the organization intends to become in the future. A vision is created by senior management and is used to help influence culture and strategic planning. Seealso mission.

vital business function (VBF) (ITIL Service Design) Part of a business process that is critical to the success of the business. Vital business functions are an important consideration of business continuity management, IT service continuity management and availability management.

vulnerability A weakness that could be exploited by a threat – for example, an open firewall port, a password that is never changed, or a flammable carpet. A missing control is also considered to be a vulnerability.

warm standby See intermediate recovery.



87

Term Definition

warranty (ITIL Service Strategy) Assurance that a product or service will meet agreed requirements. This may be a formal agreement such as a service level agreement or contract, or it may be a marketing message or brand image. Warranty refers to the ability of a service to be available when needed, to provide the required capacity, and to provide the required reliability in terms of continuity and security. Warranty can be summarized as ‘how the service is delivered’, and can be used to determine whether a service is ‘fit for use’. The business value of an IT service is created by the combination of utility and warranty. See also service validation and testing.

work in progress (WIP) A status that means activities have started but are not yet complete. It is commonly used as a status for incidents, problems, changes etc.

work instruction A document containing detailed instructions that specify exactly what steps to follow to carry out an activity. A work instruction contains much more detail than a procedure and is only created if very detailed instructions are needed.

work order A formal request to carry out a defined activity. Work orders are often used by change management and by release and deployment management to pass requests to technical management and application management functions.

workaround (ITIL Service Operation) Reducing or eliminating the impact of an incident or problem for which a full resolution is not yet available – for example, by restarting a failed configuration item. Workarounds for problems are documented in known error records. Workarounds for incidents that do not have associated problem records are documented in the incident record.



88

Term Definition

workload The resources required to deliver an identifiable part of an IT service. Workloads may be categorized by users, groups of users, or functions within the IT service. This is used to assist in analysing and managing the capacity, performance and utilization of configuration items and IT services. The term is sometimes used as a synonym for throughput.



89

Abbreviations list

Abbreviation Term

ACD automatic call distribution

AM availability management

AMIS availability management information system

ASP application service provider

AST agreed service time

BCM business continuity management

BCP business continuity plan

BIA business impact analysis

BMP Best Management Practice

BRM business relationship manager

BSI British Standards Institution

CAB change advisory board

CAPEX capital expenditure

CCM component capacity management

CFIA component failure impact analysis

CI configuration item

CMDB configuration management database

CMIS capacity management information system

CMM capability maturity model

CMMI Capability Maturity Model Integration

CMS configuration management system

COBIT Control OBjectives for Information and related Technology

COTS commercial off the shelf



90

Abbreviation Term

CSF critical success factor

CSI continual service improvement

CTI computer telephony integration

DIKW Data-to-Information-to-Knowledge-to-Wisdom

DML definitive media library

ECAB emergency change advisory board

ELS early life support

eSCM-CL eSourcing Capability Model for Client Organizations

eSCM-SP eSourcing Capability Model for Service Providers

FTA fault tree analysis

IRR internal rate of return

ISG IT steering group

ISM information security management

ISMS information security management system

ISO International Organization for Standardization

ISP internet service provider

IT information technology

ITSCM IT service continuity management

ITSM IT service management

itSMF IT Service Management Forum

IVR interactive voice response

KEDB known error database

KPI key performance indicator

LOS line of service

MIS management information system



91

Abbreviation Term

M_o_R Management of Risk

MTBF mean time between failures

MTBSI mean time between service incidents

MTRS mean time to restore service

MTTR mean time to repair

NPV net present value

OLA operational level agreement

OPEX operational expenditure

PBA pattern of business activity

PDCA Plan-Do-Check-Act

PFS prerequisite for success

PIR post-implementation review

PMBOK Project Management Body of Knowledge

PMI Project Management Institute

PMO project management office

PRINCE2 PRojects IN Controlled Environments

PSO projected service outage

QA quality assurance

QMS quality management system

RACI responsible, accountable, consulted and informed

RCA root cause analysis

RFC request for change

ROA return on assets

ROI return on investment

RPO recovery point objective



92

Abbreviation Term

RTO recovery time objective

SAC service acceptance criteria

SACM service asset and configuration management

SAM software asset management

SCM service capacity management

SCMIS supplier and contract management information system

SDP service design package

SFA service failure analysis

SIP service improvement plan

SKMS service knowledge management system

SLA service level agreement

SLM service level management

SLP service level package

SLR service level requirement

SMART specific, measurable, achievable, relevant and time-bound

SMIS security management information system

SMO service maintenance objective

SoC separation of concerns

SOP standard operating procedure

SOR statement of requirements

SOX Sarbanes-Oxley (US law)

SPI service provider interface

SPM service portfolio management

SPOF single point of failure

TCO total cost of ownership



93

Abbreviation Term

TCU total cost of utilization

TO technical observation

TOR terms of reference

TQM total quality management

UC underpinning contract

UP user profile

VBF vital business function

VOI value on investment

WIP work in progress




Forms

Page 545





ITIL® Foundation with Case Study Forms

Page 547


First Name: __________________________________________________________________Last Name: __________________________________________________________________Birth Date: __________________________________________________________________Date: ________________________________________________________________________Workshop: ___________________________________________________________________Instructor 1: _________________________________________________________________Instructor 2: _________________________________________________________________

Question (Please check only one box)

StronglyAgree

Agree NeutralDis-

agree

StronglyDis-

agreeThe content presented in this course was at the right level.

The content of this course met the stated objectives.

The labs and exercises reinforced skills taught in the course.

The labs and exercises were realis-tic and reinforced how I might use the knowledge or skills on the job.

My instructor communicated the content of the course effectively.

My instructor was willing to provide assistance at my level of need.

This course was worth my time.

This course met my expectations.

I will use the skills and knowledge gained in the course.

How effective, for you, were the following methods

Very Effective

Effective NeutralNot

EffectiveHandling the theory

Group sessions and discussions

Simulations and lab exercisesComments:




ITIL® Foundation with Case Study Forms

Page 548


Are there any unclear topics? Which ones? Why? ________________________________ _____________________________________________________________________________ _____________________________________________________________________________ _____________________________________________________________________________

Do you have any comments related to the hand-outs, simulation material, quality of the

presentation and/or the course locations? ________________________________________________________________________________________________________________________________________________________________________________________________

In your opinion, what did the instructor do well? __________________________________________________________________________________________________________________________________________________________________________________________

In what areas could your instructor improve? _____________________________________________________________________________________________________________________________________________________________________________________________

What is one thing that would improve this education experience? __________________________________________________________________________________________________________________________________________________________________________

What is one thing that should not be changed? ___________________________________________________________________________________________________________________________________________________________________________________________

What other comments do you have? (Please use additional paper if needed) ______________________________________________________________________________________________________________________________________________________________________________________________________________________________________________

Thank you for your time!Material in this document has been sourced from ITIL ® Lifecycle Suite, 2011 edition. No part of this document may be reproduced in any form without the written permission of both Quint Wellington Redwood and AXELOS Limited. Permission can be requested at www.quintgroup.com and [email protected].



ITIL® Foundation with Case Study Sample Questions with Answers

Page 549


Module Question AnswerIntroduction 1 D

2 A3 D4 A5 B6 C7 B

Service Strategy 1 C2 B3 A4 C5 C6 A7 B8 A9 D

Service Design 1 B2 D3 D4 B5 D6 D7 C8 B

Service Transaction 1 D2 B3 A4 B5 C6 C7 C8 A9 D

10 D11 C




ITIL® Foundation with Case Study Sample Questions with Answers

Page 550


Service Operation 1 C2 B3 A4 B5 A6 C7 C8 A9 D

10 D11 B

Continual Service Imrovement 1 C2 B3 C4 B5 C6 D




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vest

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Prov

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The

Purp

ose

of C

ontin

ual S

ervi

ce Im

prov

emen

t (CS

I):

“to a

lign

IT s

ervic

es w

ith c

hang

ing

busin

ess

need

s by

iden

tifyin

g an

d im

plem

entin

g im

prov

emen

ts t

o IT

ser

vices

that

sup

port

bus

ines

s pr

oces

ses.

” Th

e ob

ject

ives

of

Cont

inua

l Se

rvic

e Im

prov

emen

t ar

e:

• Re

view

, an

alyz

e, p

riorit

ize

and

reco

mm

end

on

impr

ovem

ent

oppo

rtun

ities

th

roug

hout

th

e IT

Se

rvic

e Li

fecy

cle

• Re

view

& a

naly

ze s

ervi

ce le

vel a

chie

vem

ents

•

Impl

emen

t ac

tiviti

es t

o im

prov

e IT

Ser

vice

qua

lity

and

the

enab

ling

proc

esse

s •

Impr

ove

cost

e

ectiv

enes

s w

ithou

t sa

cri

cing

cu

stom

er s

atis

fact

ion

• En

sure

app

licab

le q

ualit

y m

anag

emen

t m

etho

ds

are

used

to s

uppo

rt c

ontin

ual i

mpr

ovem

ent

• En

sure

pr

oces

ses

have

de

ned

obje

ctiv

es

&

mea

sure

men

ts, l

eadi

ng to

impr

ovem

ents

•

Und

erst

and

wha

t to

mea

sure

, w

hy i

t is

bei

ng

mea

sure

d an

d w

hat

succ

essf

ul o

utco

me

shou

ld

be

Adop

ting

and

impl

emen

ting

stan

dard

and

con

sist

ent

appr

oach

to

Co

ntin

ual

Serv

ice

Impr

ovem

ent

will

pr

ovid

e th

e fo

llow

ing

Valu

e to

the

busi

ness

: •

Gra

dual

, con

tinua

l im

prov

emen

t in

serv

ice

qual

ity

• En

sure

se

rvic

e al

ignm

ent

to

busi

ness

re

quire

men

ts

•

•

G

radu

al

impr

ovem

ents

in

co

st-e

ectiv

enes

s th

roug

h re

duct

ion

of c

osts

or

doin

g m

ore

with

th

e sa

me

• M

onito

r to

ide

ntify

im

prov

emen

t op

port

uniti

es

thro

ugho

ut th

e IT

Ser

vice

Life

cycl

e an

d pr

oces

ses

• Id

entif

y op

port

uniti

es

for

impr

ovem

ents

in

or

gani

zatio

nal

stru

ctur

es,

reso

urci

ng c

apab

ilitie

s,

part

ners

, tec

hnol

ogy,

st

ski

lls a

nd t

rain

ing,

and

co

mm

unic

atio

ns

Wha

t is

IT S

ervi

ce M

anag

emen

t (IT

SM)?

IT

Ser

vice

Man

agem

ent (

ITSM

) is

the

orga

niza

tiona

l ca

pabi

lity

for

the

eec

tive

man

agem

ent

of q

ualit

y IT

ser

vice

s th

at m

eet

the

need

s of

the

bus

ines

s.

ITSM

ut

ilize

s pr

oces

ses

and

stru

ctur

e to

dr

ive

expe

cted

or

gani

zatio

nal

beha

vior

in

or

der

to

prod

uce

cons

iste

nt,

relia

ble,

an

d pr

edic

tabl

e re

sults

, whi

le d

eliv

erin

g va

lue

to th

e bu

sine

ss.

Any

IT S

ervi

ce p

roje

ct s

houl

d ad

dres

s th

e 4

P’s

of

ITSM

:

Peop

le

Part

ners

& S

uppl

iers

Proc

ess

Prod

ucts

& T

ools

Wha

t is

the

IT In

fras

truc

ture

Lib

rary

® (I

TIL)

? IT

IL®

is

reco

gniz

ed w

orld

wid

e as

the

lea

ding

col

lect

ion

of

indu

stry

-pro

ven

best

pra

ctic

es f

or t

he m

anag

emen

t of

IT

serv

ices

. It

prov

ides

gui

danc

e to

IT s

ervi

ce p

rovi

ders

on

the

prov

isio

ning

of q

ualit

y IT

ser

vice

s, u

sing

com

mon

pro

cess

es,

func

tions

and

oth

er c

apab

ilitie

s ne

eded

to

supp

ort

them

. It

is a

fra

mew

ork

that

is

desc

riptiv

e, n

ot p

resc

riptiv

e, t

hat

shou

ld b

e ad

apte

d to

eac

h bu

sine

ss c

onte

xt. U

nder

stan

ding

an

d ap

plyi

ng I

TIL®

app

ropr

iate

ly f

or e

ach

situ

atio

n is

the

be

st w

ay t

o cr

eate

val

ue f

or t

he s

ervi

ce p

rovi

der

and

its

cust

omer

s.

Impr

ovin

g IT

Ser

vice

s th

roug

h Pr

oces

ses

“A

proc

ess

is

a st

ruct

ured

se

t of

ac

tiviti

es

desi

gned

to

ac

com

plis

h a

dene

d ob

ject

ive,

incl

udin

g al

l in

puts

, ro

les/

resp

onsib

ilitie

s, to

ols,

met

rics,

and

cont

rols

re

quire

d to

de

liver

th

e ou

tput

s”

ITIL

®

prov

ides

be

st

prac

tices

fo

r th

e im

plem

enta

tion

of

IT

Serv

ice

Man

agem

ent

proc

esse

s, i

nclu

ding

an

eec

tive

stru

ctur

e ac

ross

al

l pr

oces

ses

to

bett

er

man

age

and

alig

n IT

pr

actic

es a

nd to

del

iver

val

ue to

the

cust

omer

.

Polic

ies,

str

ateg

ies

and

dem

and

Serv

ice

Des

ign

Pack

ages

N

ew &

Cha

nged

Ser

vice

s &

Rel

ease

s O

pera

tiona

l Dat

a fo

r Im

prov

emen

t

Serv

ice

Stra

tegy

Se

rvic

e D

esig

n Se

rvic

e O

pera

tion

Se

rvic

e Tr

ansi

tion

Co

ntin

ual S

ervi

ce Im

prov

emen

t

Qui

nt W

ellin

gton

Red

woo

d - I

TIL®

Ser

vice

Life

cycl

e O

verv

iew

Cont

act U

s:

ww

w.q

uint

grou

p.co

m

quin

t@qu

intg

roup

.com

See

our w

ebsi

te fo

r reg

iona

l ce

s an

d co

ntac

t in

form

atio

n.

Abou

t Qui

nt W

ellin

gton

Red

woo

d:

• • • • • • • •



Fina

ncia

l Man

agem

ent f

or IT

Re

spon

sibl

e fo

r man

agin

g an

IT s

ervi

ce p

rovi

der’s

bud

getin

g, a

c-co

untin

g an

d ch

argi

ng re

quire

men

ts. I

t is

also

the

proc

ess

that

is

used

to q

uant

ify th

e va

lue

that

IT s

ervi

ces

cont

ribut

e to

the

busi

-ne

ss.

Acti

vitie

s in

Fin

anci

al M

anag

emen

t for

IT:

• Acc

ount

ing

(cos

t mod

els,

ana

lysi

s &

repo

rts)

• B

udge

ting

(cos

t & in

com

e es

timat

ion,

bud

gets

) • C

harg

ing

(pol

icie

s, p

ricin

g, b

illin

g)

Serv

ice

Port

folio

Man

agem

ent

Ensu

res

that

the

serv

ice

prov

ider

has

the

right

mix

of s

ervi

ces

to

bala

nce

the

inve

stm

ent i

n IT

with

the

abili

ty to

mee

t bus

ines

s ou

tcom

es.

Acti

vitie

s in

Ser

vice

Por

tfol

io M

anag

emen

t: • D

ene

(por

tfolio

, ser

vice

s &

ser

vice

mod

els)

• A

naly

ze (i

nves

tmen

ts &

val

ue p

ropo

sitio

n)

• App

rove

(fea

sibi

lity

& b

usin

ess

case

) • C

hart

er (p

roje

ct to

des

ign

& tr

ansi

tion)

Stra

tegy

Man

agem

ent f

or IT

Ar

ticul

ate

how

a s

ervi

ce p

rovi

der w

ill e

nabl

e an

org

aniz

atio

n to

ac

hiev

e its

bus

ines

s ou

tcom

es b

y es

tabl

ishi

ng c

riter

ia a

nd

mec

hani

sms

to d

ecid

e w

hich

ser

vice

s w

ill b

e be

st s

uite

d to

mee

t th

e bu

sine

ss o

utco

mes

and

the

mos

t etiv

e an

d e

cien

t way

to

man

age

serv

ices

. Ac

tivi

ties

in S

trat

egy

Man

agem

ent f

or IT

: • S

trat

egic

Ass

essm

ent (

mar

ket s

pace

s, o

bjec

tives

) • S

trat

egy

Gen

erat

ion

(vis

ion,

pol

icie

s, p

lans

, act

ions

) • S

trat

egy

Exec

utio

n (a

lign,

opt

imiz

e, p

riorit

ize)

• S

trat

egy

Mea

sure

men

t & E

valu

atio

n

Dem

and

Man

agem

ent

Und

erst

and,

ant

icip

ate

and

inue

nce

cust

omer

dem

and

for

serv

ices

and

to w

ork

with

cap

acity

man

agem

ent t

o en

sure

the

serv

ice

prov

ider

has

cap

acity

to m

eet t

his

dem

and.

Ac

tivi

ties

in D

eman

d M

anag

emen

t: • I

dent

ify s

ourc

es o

f dem

and

• Ide

ntify

& d

ene

pat

tern

s of

bus

ines

s ac

tivity

• I

dent

ify &

de

ne U

ser P

rle

s • A

ctiv

ity-b

ased

Dem

and

Man

agem

ent

• Dev

elop

di

eren

tiate

d se

rvic

e o

erin

gs

• Man

agin

g op

erat

iona

l dem

and

Busi

ness

Rel

atio

nshi

p M

gmt

Esta

blis

h an

d m

aint

ain

a bu

sine

ss re

latio

nshi

p be

twee

n th

e se

rvic

e pr

ovid

er a

nd th

e cu

stom

er a

nd id

entif

y cu

stom

er n

eeds

and

en

sure

to b

e ab

le to

mee

t the

se n

eeds

as

busi

ness

nee

ds c

hang

e.

Acti

vitie

s in

Bus

ines

s Re

lati

onsh

ip M

anag

emen

t: • E

stab

lish

com

mun

icat

ion

chan

nels

• H

andl

e co

mm

unic

atio

n in

itiat

ed b

y cu

stom

ers

• Han

dle

Serv

ice

Prov

ider

initi

ated

com

mun

icat

ion

Des

ign

Coor

dina

tion

En

sure

the

goal

s an

d ob

ject

ives

of t

he s

ervi

ce d

esig

n st

age

are

met

by

prov

idin

g an

d m

aint

aini

ng a

sin

gle

poin

t of c

oord

inat

ion

and

cont

rol f

or a

ll a

ctiv

ities

and

pr

oces

ses

with

in th

is s

tage

of t

he s

ervi

ce li

fecy

cle.

O

vera

ll ac

tivi

ties

in D

esig

n Co

ordi

nati

on:

De

ne p

olic

ies

& m

etho

ds

• Pla

n re

sour

ces

& c

apab

ilitie

s • C

oord

inat

e de

sign

act

iviti

es

• Man

age

desi

gn ri

sks

& is

sues

• I

mpr

ove

Serv

ice

Des

ign

Des

ign

Coor

dina

tion

activ

ities

for

each

des

ign:

• P

lan,

coo

rdin

ate

& m

onito

r ind

ivid

ual d

esig

ns

• Rev

iew

des

igns

& h

ando

ver o

f Des

ign

Pack

age

Serv

ice

Cata

log

Man

agem

ent

To m

aint

ain

a so

urce

of c

onsi

sten

t inf

orm

atio

n on

all

oper

atio

nal s

ervi

ces

and

thos

e be

ing

prep

ared

to b

e ru

n op

erat

iona

lly,

and

to e

nsur

e th

at i

t is

wid

ely

avai

labl

e to

thos

e w

ho a

re a

utho

rized

to a

cces

s it.

Ac

tivi

ties

in S

ervi

ce C

atal

og M

anag

emen

t: • A

gree

ing

and

docu

men

ting

serv

ice

deni

tions

• I

nter

face

with

Ser

vice

Por

tfolio

Man

agem

ent

• Pro

duce

& m

aint

ain

a Se

rvic

e Ca

talo

g • I

dent

ify b

usin

ess

depe

nden

cies

on

IT S

ervi

ces

• Ide

ntify

dep

ende

ncie

s in

IT a

nd S

uppo

rtin

g

s

ervi

ces

• Alig

n in

form

atio

n to

the

busi

ness

Avai

labi

lity

Man

agem

ent

To e

nsur

e th

at th

e le

vel o

f ava

ilabi

lity

deliv

ered

in a

ll IT

ser

vice

s m

eets

the

agr

eed

avai

labi

lity

need

s an

d se

rvic

e le

vel

targ

ets

in

a co

st-e

tive,

tim

ely

man

ner.

Acti

vitie

s in

Ava

ilabi

lity

Man

agem

ent:

Mon

itor,

mea

sure

& re

port

ava

ilabi

lity

• Inv

estig

ate

and

rem

edia

te u

nava

ilabi

lity

• Pla

n &

des

ign

avai

labi

lity

in n

ew/c

hang

ed s

ervi

ces

• Ass

ess

& m

anag

e ris

k, im

plem

ent

co

unte

rmea

sure

s • R

evie

w n

ew/c

hang

ed s

ervi

ces

and

test

resi

lienc

e • C

ontin

ual a

vaila

bilit

y re

view

& im

prov

emen

t

Info

rmat

ion

Secu

rity

Mgm

t To

alig

n IT

sec

urity

with

bus

ines

s se

curit

y an

d en

sure

th

at t

he c

onde

ntia

lity,

int

egrit

y an

d av

aila

bilit

y of

the

or

gani

zatio

n’s

asse

ts,

info

rmat

ion,

dat

a an

d IT

ser

vice

s al

way

s m

atch

es th

e ag

reed

nee

ds o

f the

bus

ines

s.

Acti

vitie

s in

Info

rmat

ion

Secu

rity

Man

agem

ent:

• Mai

ntai

n in

form

atio

n se

curit

y po

licy

• Com

mun

icat

e, im

plem

ent a

nd e

nfor

ce p

olic

ies

• Ass

ess

and

clas

sify

info

rmat

ion

& d

ocum

enta

tion

• Im

plem

ent &

revi

ew s

ecur

ity &

risk

con

trol

s • M

onito

r & m

anag

emen

t sec

urity

bre

ache

s • A

naly

ze &

repo

rt o

n se

curit

y br

each

es a

nd

in

cide

nts

• Per

form

sec

urity

revi

ews,

aud

its a

nd te

sts

IT S

ervi

ce C

onti

nuit

y M

gmt

To s

uppo

rt t

he b

usin

ess

cont

inui

ty m

anag

emen

t (B

CM)

by e

nsur

ing

that

, by

man

agin

g th

e ris

ks t

hat

coul

d a

t IT

ser

vice

s, t

he I

T se

rvic

e pr

ovid

er c

an

prov

ide

agre

ed

cont

inui

ty-r

elat

ed

serv

ice

leve

ls.

Acti

vitie

s in

IT S

ervi

ce C

ontin

uity

Man

agem

ent:

• Ini

tiatio

n • R

equi

rem

ents

& S

trat

egy

• Im

plem

enta

tion

• Ong

oing

Ope

ratio

n • I

nvoc

atio

n

Supp

lier

Man

agem

ent

To o

btai

n va

lue

for

mon

ey f

rom

sup

plie

rs a

nd t

o pr

ovid

e se

amle

ss q

ualit

y of

IT s

ervi

ce to

the

busi

ness

by

ens

urin

g th

at a

ll co

ntra

cts

and

agre

emen

ts w

ith

supp

liers

sup

port

the

need

s of

the

busi

ness

and

that

al

l sup

plie

rs m

eet t

heir

cont

ract

ual c

omm

itmen

ts.

Acti

vitie

s in

Sup

plie

r M

anag

emen

t: • D

ene

sup

plie

r & c

ontr

act r

equi

rem

ents

• E

valu

ate

new

sup

plie

rs &

con

trac

ts

• Mai

ntai

n su

pplie

r and

con

trac

t inf

orm

atio

n • E

stab

lish

new

sup

plie

rs &

con

trac

ts

• Con

trac

t ren

ewal

and

term

inat

ion

Even

t Man

agem

ent

To m

anag

e ev

ents

thro

ugho

ut th

eir l

ifecy

cle.

Thi

s lif

ecyc

le

of a

ctiv

ities

to d

etec

t eve

nts,

mak

e se

nse

of th

em a

nd

dete

rmin

e th

e ap

prop

riate

con

trol

act

ion

is c

oord

inat

ed b

y th

e ev

ent m

anag

emen

t pro

cess

. Ac

tivi

ties

in E

vent

Man

agem

ent:

• Eve

nt n

oti

catio

n, d

etec

tion

& lo

ggin

g • E

vent

cor

rela

tion

• Res

pons

e se

lect

ion

& tr

igge

r • R

evie

w a

ctio

ns

• Clo

se E

vent

Serv

ice

Leve

l Man

agem

ent

To e

nsur

e th

at a

ll IT

ser

vice

s ar

e de

liver

ed t

o ag

reed

ta

rget

s,

thro

ugh

a cy

cle

of

nego

tiatin

g,

agre

eing

, m

onito

ring,

repo

rtin

g on

and

revi

ewin

g IT

ser

vice

targ

ets,

an

d to

impr

ove

the

leve

l of s

ervi

ce d

eliv

ered

. Ke

y Ac

tivi

ties

in S

ervi

ce L

evel

Man

agem

ent (

SLM

): • A

gree

ing

upon

Ser

vice

Lev

el R

equi

rem

ents

• M

onito

ring

& m

easu

ring

serv

ice

perf

orm

ance

• C

reat

ing

Serv

ice

Repo

rts

& S

ervi

ce R

evie

ws

• Mea

surin

g an

d im

prov

ing

cust

omer

sat

isfa

ctio

n • M

aint

aini

ng S

LAs

and

OLA

s • D

evel

opin

g re

latio

nshi

ps w

ith b

usin

ess

and

part

ners

• M

aint

aini

ng S

LA &

SLM

fram

ewor

ks a

nd p

roce

dure

s

Capa

city

Man

agem

ent

To e

nsur

e th

at th

e ca

paci

ty o

f IT

serv

ices

and

in

fras

truc

ture

mee

ts th

e ag

reed

cap

acity

and

pe

rfor

man

ce re

quire

men

ts in

a c

ost-e

tive

and

timel

y m

anne

r. It

oper

ates

at 3

leve

ls: b

usin

ess,

se

rvic

e &

com

pone

nt.

P roa

ctiv

e Ac

tiviti

es in

Cap

acity

Man

agem

ent:

• Pre

-em

ptin

g pe

rfor

man

ce is

sues

• P

rodu

cing

tren

ds a

nd fo

reca

stin

g ca

paci

ty

• Mod

elin

g &

tren

ding

cha

nges

in IT

• B

udge

ting

and

plan

ning

upg

rade

s tim

ely

• Im

prov

e pe

rfor

man

ce w

here

cos

t-jus

tiab

le

• Mai

ntai

ning

cap

acity

pla

ns

• Tun

ing

serv

ice

& c

ompo

nent

cap

acity

/per

form

ance

R e

activ

e Ac

tiviti

es in

Cap

acity

Man

agem

ent:

• Mon

itorin

g &

revi

ewin

g cu

rren

t per

form

ance

• R

espo

ndin

g to

thre

shol

d ev

ents

• R

eact

to p

erfo

rman

ce &

cap

acity

issu

es

7-St

ep Im

prov

emen

t Pro

cess

To

de

ne a

nd m

anag

e th

e st

eps

need

ed to

iden

tify,

de

ne, g

athe

r, pr

oces

s, a

naly

ze, p

rese

nt a

nd im

plem

ent i

mpr

ovem

ents

. Ac

tivi

ties

in th

e 7-

step

impr

ovem

ent p

roce

ss:

• Ide

ntify

str

ateg

y fo

r im

prov

emen

t • D

ene

wha

t you

will

mea

sure

• G

athe

r the

dat

a • P

roce

ss th

e da

ta

• Ana

lyze

info

rmat

ion

& d

ata

• Pre

sent

& u

se in

form

atio

n • I

mpl

emen

t im

prov

emen

t

Inci

dent

Man

agem

ent

To re

stor

e no

rmal

ser

vice

ope

ratio

n as

qui

ckly

as

poss

ible

an

d m

inim

ize

the

adve

rse

impa

ct o

n bu

sine

ss o

pera

tions

, th

us e

nsur

ing

that

agr

eed

leve

ls o

f ser

vice

qua

lity

are

mai

ntai

ned.

Ac

tivi

ties

in In

cide

nt M

anag

emen

t: • I

ncid

ent i

dent

ica

tion

& lo

ggin

g • I

ncid

ent c

ateg

oriz

atio

n &

prio

ritiz

atio

n • I

nitia

l Dia

gnos

is (m

atch

ing)

• I

nves

tigat

ion

& D

iagn

osis

• R

esol

utio

n &

Rec

over

y • I

ncid

ent C

losu

re

Requ

est F

ullm

ent

Proc

ess

resp

onsi

ble

for m

anag

ing

the

lifec

ycle

of a

ll se

rvic

e re

ques

ts fr

om th

e us

ers.

Ac

tivi

ties

in R

eque

st F

ulllm

ent:

• Req

uest

logg

ing

and

valid

atio

n • R

eque

st c

ateg

oriz

atio

n &

prio

ritiz

atio

n • R

eque

st a

utho

rizat

ion

• Req

uest

revi

ew

• Req

uest

mod

el e

xecu

tion

Prob

lem

Man

agem

ent

To m

inim

ize

the

adve

rse

impa

ct o

f inc

iden

ts th

at a

re

caus

ed b

y un

derly

ing

erro

rs w

ithin

IT In

fras

truc

ture

, and

to

prev

ent r

elat

ed re

curr

ing

inci

dent

s.

A ctiv

ities

in P

robl

em M

anag

emen

t: • P

robl

em d

etec

tion,

Pro

blem

logg

ing

• Pro

blem

cat

egor

izat

ion,

Pro

blem

prio

ritiz

atio

n • P

robl

em in

vest

igat

ion

& d

iagn

osis

• I

mpl

emen

t wor

k-ar

ound

• R

aise

Kno

wn

Erro

rs

• Pro

blem

Res

olut

ion

• Pro

blem

Clo

sure

Acce

ss M

anag

emen

t To

pro

vide

the

right

for u

sers

to b

e ab

le to

use

a s

ervi

ce o

r gr

oup

of s

ervi

ces.

Ac

tivi

ties

in A

cces

s M

anag

emen

t:

• Req

uest

Acc

ess

• Ver

catio

n • P

rovi

de R

ight

s • C

heck

& M

onito

r ide

ntity

sta

tus

• Log

and

trac

k Ac

cess

• R

emov

e or

rest

rict r

ight

s

Serv

ice

Ope

rati

on

Four

Fun

ctio

ns o

f ITI

L Fu

nctio

n: te

am/g

roup

of p

eopl

e an

d re

sour

ces

they

use

to

carr

y ou

t pro

cess

es a

nd/o

r act

iviti

es.

Four

func

tion

s as

de

ned

by IT

IL:

• Ser

vice

Des

k • A

pplic

atio

n M

anag

emen

t • T

echn

ical

Man

agem

ent

• IT

Ope

ratio

ns M

anag

emen

t, w

ith 2

sub

-func

tions

: •

IT O

pera

tions

Con

trol

•

Fac

ilitie

s M

anag

emen

t

Tran

siti

on P

lann

ing

& S

uppo

rt

To p

rovi

de o

vera

ll pl

anni

ng fo

r ser

vice

tran

sitio

ns

and

to c

oord

inat

e th

e re

sour

ces

that

they

requ

ire.

Acti

vitie

s in

Tra

nsit

ion

Plan

ning

& S

uppo

rt:

• De

ne tr

ansi

tion

stra

tegy

& li

fecy

cle

stag

es

• Pre

pare

for s

ervi

ce tr

ansi

tion

• Pla

n &

Coo

rdin

ate

serv

ice

tran

sitio

n • P

rovi

de tr

ansi

tion

proc

ess

supp

ort

Chan

ge M

anag

emen

t To

con

trol

the

lifec

ycle

of a

ll ch

ange

s, e

nabl

ing

bene

cial

cha

nges

to b

e m

ade

with

min

imum

di

srup

tion

to IT

ser

vice

s.

Key

over

all a

ctiv

ities

in C

hang

e M

anag

emen

t: • P

lan,

con

trol

& c

omm

unic

ate

chan

ges

• Cha

nge

& re

leas

e sc

hedu

ling

• Dec

isio

n m

akin

g &

cha

nge

auth

oriz

atio

n • M

easu

ring,

man

agin

g an

d re

port

ing

Indi

vidu

al c

hang

e ac

tivi

ties

in C

hang

e M

anag

emen

t: • C

reat

e, re

cord

& re

view

Req

uest

for C

hang

es (R

FC)

• Ass

ess

& e

valu

ate

the

Chan

ge

• Aut

horiz

e th

e Ch

ange

• P

lan

upda

te

• Coo

rdin

ate

Chan

ge Im

plem

enta

tion

• Rev

iew

& C

lose

Cha

nge

Serv

ice

Asse

t & C

on M

gmt

To e

nsur

e th

at th

e as

sets

requ

ired

to d

eliv

er s

ervi

ces

are

prop

erly

con

trol

led,

and

that

acc

urat

e an

d re

liabl

e in

form

atio

n ab

out t

hose

ass

ets

is a

vaila

ble

whe

n an

d w

here

it is

nee

ded.

Ac

tivi

ties

in S

ervi

ce A

sset

& C

ongu

ratio

n M

gmt:

• Man

agem

ent &

Pla

nnin

g • C

ongu

ratio

n Id

enti

catio

n • C

ongu

ratio

n Co

ntro

l • S

tatu

s Ac

coun

ting

& R

epor

ting

• Ver

catio

n &

Aud

it

Rele

ase

& D

eplo

ymen

t Mgm

t To

pla

n, s

ched

ule

and

cont

rol t

he b

uild

, tes

t and

de

ploy

men

t of r

elea

ses,

and

to d

eliv

er n

ew fu

nctio

nalit

y re

quire

d by

the

busi

ness

whi

le p

rote

ctin

g th

e in

tegr

ity o

f ex

istin

g se

rvic

es.

4 Ph

ases

of R

elea

se &

Dep

loym

ent m

anag

emen

t: • R

elea

se &

Dep

loym

ent P

lann

ing

• Rel

ease

Bui

ld &

Tes

t • D

eplo

ymen

t • R

evie

w &

Clo

se

Serv

ice

Valid

atio

n &

Tes

ting

To

ens

ure

that

a n

ew o

r cha

nged

IT s

ervi

ce m

atch

es it

s de

sign

spe

cica

tion

and

will

mee

t the

nee

ds o

f the

bus

i-ne

ss.

Acti

vitie

s in

Ser

vice

Val

idat

ion

& T

estin

g:

• Val

idat

ion

& T

est M

anag

emen

t • P

lan

& D

esig

n Te

sts

• Ver

ify te

st p

lans

and

test

des

ign

• Pre

pare

test

env

ironm

ent

• Per

form

test

s • E

valu

ate

exit

crite

ria a

nd re

port

• T

est c

lean

up

and

clos

ure

Chan

ge E

valu

atio

n To

pro

vide

a c

onsi

sten

t and

sta

ndar

dize

d m

eans

of

det

erm

inin

g th

e pe

rfor

man

ce o

f a s

ervi

ce

chan

ge in

the

cont

ext o

f lik

ely

impa

cts

on b

usin

ess

outc

omes

, and

on

exis

ting

and

prop

osed

ser

vice

s an

d IT

infr

astr

uctu

re.

Acti

vitie

s in

Cha

nge

Eval

uatio

n:

• Pla

n Ev

alua

tion

• Und

erst

andi

ng in

tend

ed a

nd u

nint

ende

d e

ts

• Eva

luat

e pr

edic

ted

perf

orm

ance

• E

valu

ate

actu

al p

erfo

rman

ce

• Rep

ort E

valu

atio

n

Know

ledg

e M

anag

emen

t To

sha

re p

ersp

ectiv

es, i

deas

, exp

erie

nce

and

info

rmat

ion;

to e

nsur

e th

at th

ese

are

avai

labl

e in

the

right

pla

ce a

t the

righ

t tim

e to

ena

ble

info

rmed

de

cisi

ons;

and

to im

prov

e e

cien

cy b

y re

duci

ng th

e ne

ed to

redi

scov

er k

now

ledg

e.

Acti

vitie

s in

Kno

wle

dge

Man

agem

ent:

• Dev

elop

Kno

wle

dge

Man

agem

ent S

trat

egy

• Kno

wle

dge

Tran

sfer

• M

anag

e da

ta, i

nfor

mat

ion

& k

now

ledg

e • U

sing

Ser

vice

Kno

wle

dge

Man

agem

ent S

yste

m

Serv

ice

Tran

siti

on

Serv

ice

Des

ign

Cont

inua

l Ser

vice

Impr

ovem

ent

Serv

ice

Stra

tegy

Qui

nt W

ellin

gton

Red

woo

d - I

TIL®

Pro

cess

Ove

rvie

w

ITIL-213 8.03 ENG QA IFO IM - learnit.com Manuals/ITIL-213_8.03_ENG_QA... · Instructor Notes...

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Transcript of ITIL-213 8.03 ENG QA IFO IM - learnit.com Manuals/ITIL-213_8.03_ENG_QA... · Instructor Notes...