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We look at the Service Strategy phase of the ITIL V3 service lifecycle and the key processes that enable business and IT integration. We will discuss critical processes such as Service Portfolio Management, Business Service Management, Financial Management and Demand Management, along with key roles such as Business Relationship Manager and Product Manager.
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W l
S i St t
Welcome
Service Strategy
The axis of the service lifecycle
© ITSM Academy, Service Design 1109
About ITSM Academy
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Tens of thousands of learners trained since 2003
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ITIL, MOF, ISO 20K Awareness
And More! Welcome!
Agenda
Service Strategy purpose, goals and objectivesWhere to beginRoles and responsibilitiesProcessesKey lessons
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© Crown copyright 2007. Reproduced under license from OGC.
You are here
Service Strategy Purpose, Goals and Objectives
Design, develop and implement i tservice management
As an organizational capabilityAs a strategic assetAs a strategic asset
Define policies, guidelines and processes across the ITIL® service plifecycleProvide superior performance to competing alternatives
Service Strategy is about ensuring that service providers can handle
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the costs and risks associated with their portfolios, and are set up not just for operational effectiveness, but also distinctive performance.
Where to Begin?
B i ith k ti P i P f
Mind the GapBegin with a marketing mindsetA k ti i d t k
filter
Perceptions Preferences
BusinessA marketing mindset asksWhat is our business?Wh t ?
context
Business outcomes
Who are our customers?What do they value?
Attributes
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Service providers must see services from the customer’s perspective and develop distinctive, strategic capabilities.
Service Provider Types
Business InternalS i t l b i it
ITServes internal business unitsOperates for cost recovery
Finance IT HR Logistics
SharedConsolidates corporate f ti i t i li d
External
SSU
B i
functions into a specialized Shared Services Unit (SSU)
ExternalSpecialized knowledge, experience, scale, scope,
Business
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capabilities and resourcesExternalInternal or Shared
Service Strategy Roles and Responsibilities
Role Responsibilities
• Define the organization as a service provider• Define the organization as a service provider
• Develop and view service management as a strategic asset
f
Director of Service
Management / Senior IT • View the organization from a process perspective
• Manage the value network
• Product focused
Senior IT Leadership
• Manage services as a product over their lifecycle
• Provide leadership in building business cases
K l i S i P tf li M t
Product Managers
• Key role in Service Portfolio Management
• Customer focused
• Manage the customer relationshipBusiness
Relationship
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• Communicate customers’ wants and needsp
Manager
Service Strategy Processes
Service Design Service OperationService Strategy Service Transition
Service Strategy
Service StrategyDemand Management Service Portfolio
ual S
ervi
ceov
emen
tua
l Ser
vice
ovem
ent
Service Portfolio ManagementFinancial Management Service Catalog
Con
tinu
Impr
oC
ontin
uIm
pro
Business/ Service
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Business/Customers
ServiceProvider
Suppliers
Service Strategy
Define the MarketDefine the Market
Develop the Offerings
Develop Strategic Assets
Prepare for Execution
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Prepare for Execution
Demand Management
Demand Management is the set of activities that understand and influence customer demand for services and the provision of
Why Manage Demand?
capacity to meet those demands.
Failing to manage demand is a source of riskI ffi i i i Insufficient capacity impacts the quality of services and limits growthlimits growthExcess capacity generates cost without value
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Business activities drive demand.
Service Portfolio Management
Service Portfolio Management (SPM) is the process responsible for managing the Service Portfolio.
A Service Portfolio Helps clarify strategic questions
g g
Helps clarify strategic questions− Why should a customer buy these services? − Why should they buy these services from us?
What are the pricing or chargeback models? − What are the pricing or chargeback models? − What are our strengths, weaknesses, priorities, risks? − How should resources and capabilities be allocated?Makes it possible to compare services across alternate providers Makes it possible to anticipate change
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p p g
SPM considers services in terms of their business value.
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The portfolio management approach helps managers prioritize investments and improve the allocation of resources.
Financial Management Goals and Objectives
Financial Management enables the business and IT to quantify, in financial terms, the value of services and their underlying
Provide operational visibility insight and
, y gassets, and to qualify operational forecasting.
Provide operational visibility, insight and superior decision makingEnable IT to
Understand and control supply and demandProvide cost-effective servicesM i i i ibilit i t l t d t t t Maximize visibility into related cost structures
Enable many parts of the organization to collect, share and maintain the financial data they need
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y
Key Lessons
Customers always have alternativesTo compete IT must do its job better than the alternativesIT must be distinctive in terms of
The services provided How the service are provided
Success in Service Strategy requires identifying what customers perceive as value. Everything a
service provider does should flow from that.
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service provider does should flow from that.
IT Service Management Professional (ITSMP)℠ Diplomas
ITSM Academy is Licensed by the Commission for Independent Commission for Independent Education, Florida Department of Education, offering occupational ITSMP℠ Diplomas.
On our website, this symbol indicates courses which accrue ITSMP students clock hours toward their Diploma:
• Change Manager
• Support Manager• Support Manager
• Service Level Manager
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ITSM Academy Affiliates
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