ITIL: State of the Nation

Patrick BolgerChief Marketing Officer

ITIL ITIL -- State of the NationState of the NationInternational survey on ITIL adoptionInternational survey on ITIL adoption

Patrick BolgerPatrick BolgerChief Marketing OfficerChief Marketing Officer

Agenda

• My background

• ITIL – State of the Nation Research

• Planning your ITSM Journey

• Changing the perception of IT

• How technology can help

• Moving beyond ‘small circle’ ITIL

• Q&A

My background

• Technical background

• Managed a service desk at British Telecom

• Appointed Technical Services Director at IDS

• Joined Hornbill as VP Sales & Marketing in 1998

– Chief Marketing Officer in 2007

• On the Board of a number of industry groups

• Co-authored “How to do Release Management” for itSMF UK

• Seen hundreds of Service Desk implementations

• Mentoring customers to get the most from their ITSM initiatives

ITIL v2 & v3

ITIL: State of the nation 2009International survey on ITIL adoption

Whitepaper authors:

Patrick Bolger, Hornbill

Ken Turbitt, SMCG Ltd

Survey demographics

• 784 Surveyed – 514 Fully completed

• 50% UK, 38% USA, 12% ROW

• 96% Management functions, including

13% at CIO level

Survey demographics – Organization size

• Wide range of organizations

• Majority were enterprise 10,000+ employees

• ITIL has appeal with small to medium sized

businesses - 25% <1,000 employees

Top drivers for adopting ITIL

Greatest challenges when adopting ITIL

ITIL – v2 or v3

ITIL v2 adopters

ITIL v2 adopters

ITIL v3 adopters

ITIL v3 adopters

ITIL v3 adopters

Benefits realized (v2 and v3)

Benefits Sought vs. Realized

IT relationship with business executives

Maturity Levels – ITIL v2 and v3

ITIL: State of the Nation - Survey Highlights

ITIL v2 Adopters

• Large number (30%) adopted v2 in the last 2 years (since v3 release)

• Majority (52%) sticking with v2 for now

• Intend to mature v2 processes before considering v3

ITIL v3 Adopters

• Although the Lifecycle approach is the top driver, it is not being implemented

• Cherry-picking of processes still evident

• Mainly popular v2 processes being upgraded

Business planning and engagement

• Getting better, but substantial room for improvement

• We need to get out more…

• Adjust the mindset from Servers to Services

Overall ITIL (v2 & v3) Maturity levels still quite low

• Only 32% reasonably high to very high levels of maturity

• 68% medium to low levels of maturity

Planning any journey

Destination

Start

Stage 1 Stage 2 Stage 3 Stage 4

Identifying your starting point

Technology Focus

Customer Focus

Business Focus

Value Network Focus

Low

High

Role of IT in the Organization

Infl

ue

nce

on

th

e B

usin

ess

Service Focus

ITIL v2 Books – Planning to implement Service Management

The Focus of IT

IT customers are the customer of the organization

IT is perceived as an internal business partner

IT has a single strategy and is focused on the

customer, but is perceived as an external supplier

IT focused on integration and delivery of end-to-end

IT services (business solutions)

IT focused on technology. Infrastructure and

applications treated as separate and largely

unrelated domains

Technology Focus

Service Focus

Business Focus

Value Focus

Customer Focus

Source: Pink Elephant, Cultural readiness for ITSM

Characteristics

• Business revenue is directly generated by the sale of IT Services to external

customers

• IT based services and their digital transactions are perceived to be integral and

synonymous with the business processes they support

• Market share and stock price are influenced by the market’s perception of the

quality and stability of IT capability.

• IT Executives are part of the strategic business planning processes

• The CIO has oversight and responsibility for other departments outside of traditional

IT function (e.g.. facilities, processing, fleet mgmt.)

• IT measures it success in terms of business transactional volume / availability

• IT Services are understood to support the business process

• The IT organization is understood to be an enterprise function made up of both

internal and external suppliers

• Enterprise governance is mature enough to enforce standards across all IT groups

• IT is taking and fulfilling orders from its business customer

• Shared Services Organizations are establishing common services and processes

• Service level agreements are based on services rather than technology

• IT Services are typically defined as infrastructure and user based services

• IT Domains / Depts. (Database, Servers, Desktop, etc..)

• IT Operations

• Infrastructure Organizations

• Network Technology Silos

Application vs. Infrastructure

IT Supports The Line

IT IS The Line

IT Service Provider

Technology Focus

Service Focus

Business Focus

Value Focus

Customer Focus


ITIL v3 Processes mapped to focus

• Service Strategy

• Service Portfolio Management

• Financial Management (costing and charging)

• IT Service Continuity Management

• Demand Management

• Transition Planning and Support

• Service Portfolio Management (CSI Focused)

• Financial Management (service based costing)

• SLM (Business Relationship Management)

• Service Catalog Management (business customer focused)

• Capacity & Availability Management

• Enterprise IT Supplier Management

• Knowledge Management

• Service Portfolio Management (Project Focused)

• Service Level Management (SLA & OLA)

• Release & Deployment Management (SVT & Evaluation)

• Service Asset & Configuration Management

• Problem Management (Proactive)

• Information Security Management

• Request Fulfillment / Event Management

• Service Catalog Management (IT & user focused)

• Service Desk

• Incident Management

• Problem Management (Root Cause Analysis – Reactive)

• Change Management

• Access Management

• Logical and Physical Device Security

• Capacity, Availability, Event (component / domain)

Technology Focus

Service Focus

Business Focus

Value Focus

Customer Focus


The reality of ITIL Adoption

Technology Focus

Customer Focus

Business Focus

Value Network Focus

Low

High

Role of IT in the Organization

Infl

ue

nce

on

th

e B

usin

ess

Service FocusITILv2

ITILv3

A Bite-Size approach to ITIL makes sense

Market experience shows it works

• Increase service quality

• Improve customer satisfaction

• Increase IT efficiency

• Financial return

Successful adopters keep it simple

• Focus on the Service Desk – IT’s ‘shop window’

• Introduce a service culture

• Use the most commonly adopted ITIL processes

• Deliver quick wins

• Prove ITIL is beneficial to your organization

• Plan the next steps in your Journey

Remember the top drivers for adoption

The IT Crowd – Truest Moment Ever

Perception is Reality

• How we see ourselves is not

always how our customers see

us

• How we are perceived by our

customers?

• How to they perceive the

services we provide?

• Can we identify priority

services for each customer?

• How well do we keep

customers informed?

• Are we communicating in their

language?

The way it is…The way it should be…

Effort

Priority

ITSM needs the Human Touch

Although Process and Technology are important,

remember that People…

• report incidents to the Service Desk

• participate in Service Review Meetings

• respond to the Service Delivery Manager

• review trends on service performance

• take ownership of issues impacting service

• take action to avoid service degradations

• identify the metrics that are meaningful

• establish the baselines for service quality

• coach staff on performance to goals

ITSM needs the Human Touch

Service Desk tools

can promote the Human Touch

How tools can promote the Human Touch

Breaking through the glass ceiling

Bite Size ITIL

Beyond Bite Size

We look to ITIL to reduce IT pain

• Never enough resource

• Constantly fire-fighting

• Difficulty prioritizing calls

• No policy for incident reduction

• Same issues resolved again and again

• No time to look at common trends

• New services ‘chucked over the fence’

• Inadequate testing before deployment

• Knowledge in people’s heads

• Poor communication with customers

• Customers have no visibility of issues

• Loose Service Level Agreements

• Metrics of little business value

• Hard to measure improvements

• Service Desk staff don’t know enough

about the business or the customer

Why are we failing to go further?

ITIL is an effective pain killer

• There is a real need for anything that helps

• Good for what ails you

• Works and is seen to work

• We see huge improvements when it is first administered

However…

• It doesn’t remove the true cause of pain

• Masks the symptoms of pain and impedes diagnosis

• Used unwisely and unselectively

• Addictive and un-monitored

A tonic with familiar ingredients

Service Desk

Incident

Problem

Change

Release

Configuration

Availability

Service Level

Management Invest

Improve

Core processes make up a solid, logical

small circle that is…

– Easily understood

– Can be supported by tools

– Little need to engage the business

SLAs

Catalog

CMDB

Small Circle ITIL

Simply

improves

the

Painkiller

What are we treating?

• Never enough resource

• Constantly fire-fighting

• Difficulty prioritizing calls

• No policy for incident reduction

• Same issues resolved again and again

• No time to look at common trends

• New services ‘chucked over the fence’

• Inadequate testing before deployment

• Knowledge in people’s heads

• Poor communication with customers

• Customers have no visibility of issues


• Metrics of little business value

• Hard to measure improvements

• Service Desk staff don’t know enough

about the business or the customer

• Lack of Business/IT planning

• IT Metrics of little business value

• No financial transparency

• No capacity planning

• Inadequate testing

• No acceptance criteria

• Insufficient communication and management of customer expectations

• Little training (users, support…)


The Pain Not the Cause

All addressed by Service Design

Service Design enables us to consider…

• Infrastructure

• Application

• Processes

• Training

• Testing

• Deployment

• Acceptance

• Suppliers

• Projects

Service Design helps to avoid…

The cost if you do nothing

• Lost opportunities to improve

service and reduce end to end

service costs

• Continuation of ‘surprises’ to

service organization and users

• Continuation of unavoidable

costs

• Prevention is better (and far cheaper) than cure

• Small circle ITIL

– Is a sensible starting point

– Will provide initial relief from the symptoms of pain

– But it’s not a long-term treatment strategy

Avoid the most common mistake

Bite Size ITIL

Beyond Bite Size

Sources

• ITIL State of the nation (download)

http://www.hornbill.com/itilstate

• ITIL V3 – The opium of ITSM

Kevin Holland & Brenda Peery

• Cultural Readiness for ITSM

Pink Elephant

• Service Management with the Human Touch (download)

http://www.hornbill.com/newswire/temp/HTmailerregform/

The Question Process

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Thank You

Thank You for attending this session

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Patrick BolgerChief Marketing Officer

[email protected]

Education

ITIL: State of the Nation