IT 261 Learning Activities Guidelines and Rubric
All learning activities are designed to allow you to apply the ITSM topics learned to realistic situations. Detailed instructions for each learning activity are listed in
each respective module. General summaries of activities follow:
Learning Activity 1 (Module Two): Short Paper: Service-Level Agreement Review
The first learning activity allows you to apply knowledge gained regarding IT service-level agreements. You will review a sample IT SLA document and write a 1–
2-page paper in response to guiding questions.
Learning Activity 2 (Module Three): ITSM Metrics Program
The second learning activity allows you to use your learned knowledge of ITSM metrics to create your own design. Be sure to review the complete set of
instructions in the Learning Activity 2 document.
Learning Activity 3 (Module Four): Short Paper: Process Assessment
The third learning activity allows you to select a business process with which you are familiar to assess. You will write a 1- to 2-page paper in response to guiding
questions.
Learning Activity 4 (Module Six): Process Map or Quality Analysis
The fourth learning activity allows you to apply knowledge gained regarding IT process mapping. You will create a process map or quality analysis according to
specified guidelines.
Rubric
Guidelines for Submission: Learning activity assignments must follow these formatting guidelines: double spacing, 12-point Times New Roman font, one-inch
margins, and discipline-appropriate citations.
Critical Elements
Main Elements
Inquiry and Analysis
Writing
(Mechanics/Citations)
Exemplary (100%)
Includes all of the main
elements and requirements of
the activity
Provides thorough and in-depth
responses that demonstrate
complete understanding of
relevant ITSM concepts
No errors related to specified
organization, spelling, grammar,
style, and citations when
appropriate
Proficient (85%)
Includes most of the main
elements and requirements of
the activity
Provides responses that
demonstrate some
understanding of relevant ITSM
concepts
Minor errors related to
specified organization, spelling,
grammar, style, and citations
when appropriate
Needs Improvement (55%)
Includes some of the main
elements and requirements of
the activity
Provides responses that
demonstrate minimal
understanding of relevant ITSM
concepts
Some errors related to specified
organization, spelling, grammar,
style, and citations when
appropriate
Not Evident (0%)
Does not include any of the
main elements and
requirements of the activity
Does not provide responses
that demonstrate
understanding of relevant ITSM
concepts
Major errors related to
specified organization, spelling,
grammar, style, and citations
when appropriate
Earned Total
Value
45
45
10
100%
ITSM Process Interface Document
A Document of High Level ITSM Process
Designs for the NGEN Program
Prepared by
ITSM COE
April 23, 2009
This page intentionally left blank.
NGEN ITSM Process Interface Document
Executive Summary
This NGEN ITSM Process Interface Document (PID) contains IT Service Management (ITSM)
process specifications designed to integrate NGEN objectives with the ITIL v3 framework. It
defines the ITSM approach for NGEN that aligns with the selected sourcing model.
Information in this document will provide inputs for the NGEN Statement of Work (SOW) and
will serve as the reference document for NGEN process design teams tasked with scoping and
refining ITSM processes down to the C-Level as described in figure 1 below.
In this document, all but a few processes are described using a high level process model (flow
chart), key seams and interfaces, roles and performance metrics and notes about tool interfaces.
Level A
Level B
Level C
Level D
•
•
DON Leadership
DON Policy, DOD Governance
•
•
•
SPO, PM and Operational Leadership
SOW/RFP Requirements
Process Interface Document
•
•
Sub-process Activities and Procedures
Service Delivery and Governance
Roles & Responsibilities
•
•
•
Business Rule Governance
Terms & Conditions
Operations Handbook
Figure 1 Process Design Pyramid
iii
NGEN ITSM Process Interface Document
Document Control
This page provides details on the document file name and location, and its control information.
File Information
File Name and https://portal.peoeis.navy.mil/sites/itsm/Document%20Library/Forms/AllItems.aspx?RootFolde
r=%2fsites%2fitsm%2fDocument%20Library%2fProcesses%20and%20Procedures%2f000%20
Location
Process%20Interfaces
Document Information
2.3
Version
Original Author
Status
See Revision History Archive
Released by
NGEN
Reference
Date Released
Refer to cover page
Group
Change
Revision History
Version
Date
Author
0.01-0.23
To 03/06/2009
Multiple
Various
Refer to the appendix on Revision
History Archive for details on the
development of this PID.
Note that an early PID v1.1 was reversioned to 0.09.
0.3
03/16/2009
Multiple
ITSM COE
Revision of Service Transition and CSI
Revision of Service Operations
Revision of Service Design
Revision of Service Strategy
2.0
04/1/2009
Courtney Francis
Ashley Amjad
ITSM COE
Consolidation of v0.3 documents,
improved CSFs and KPIs, seam tables.
Due to earlier discrepancies of
versioning, 1.x has been bypassed.
2.1
4/15/09
Courtney L. Francis
ITSM COE
Inserted NGEN Specifications table.
Removed assumptions
2.2
4/23/09
Courtney L. Francis
Scott Hales
ITSM COE
Updated Executive Summary and
Introduction. Posted copy to Portal
2.3
4/24/09
Courtney L. Francis
Scott Hales
ITSM
Further revised language in the
Executive Summary and Intro.
2.4
5/18/2009
Courtney L. Francis
Scott Hales
ITSM
Released to SEI IPT for WBS effort.
iv
NGEN ITSM Process Interface Document
Document Approval
This is the sign-off page approving the document and authorizing its release.
SE&I IPT
Name, Title, Program
Date
Name, Title, Program
Date
Name, Title, Program
Date
Name, Title, Program
Date
Name, Title, Program
Date
NGEN FITT
Name, Title, Program
Date
Name, Title, Program
Date
Name, Title, Program
Date
Name, Title, Program
Date
Name, Title, Program
Date
v
NGEN ITSM Process Interface Document
Table of Contents
1 Introduction .............................................................................................................. 1
1.1
Purpose of Document ...................................................................................................................... 1
1.2
Objectives ........................................................................................................................................ 1
1.3
Scope ............................................................................................................................................... 1
1.4
References ....................................................................................................................................... 4
1.5
Assumptions ..................................................................................................................................... 4
1.6
Risks................................................................................................................................................. 4
2 Service Strategy ....................................................................................................... 5
2.1
Strategy Generation ......................................................................................................................... 5
2.2
Demand Management...................................................................................................................... 6
2.3
Service Portfolio Management ....................................................................................................... 11
2.4
Financial Management ................................................................................................................... 19
3 Service Design ....................................................................................................... 28
3.1
Service Catalog Management ........................................................................................................ 28
3.2
Service Level Management ........................................................................................................... 37
3.3
Capacity Management ................................................................................................................... 45
3.4
Availability Management ................................................................................................................ 55
3.5
Information Security Management ................................................................................................. 64
3.6
IT Service Continuity Management ................................................................................................ 71
3.7
Supplier Management .................................................................................................................... 80
4 Service Transition .................................................................................................. 89
4.1
Knowledge Management ............................................................................................................... 89
4.2
Evaluation ...................................................................................................................................... 96
4.3
Service Validation and Testing .................................................................................................... 104
4.4
Transition Planning and Support.................................................................................................. 110
4.5
Release and Deployment Management....................................................................................... 117
4.6
Service Asset and Configuration Management ........................................................................... 128
4.7
Change Management................................................................................................................... 140
5 Service Operations .............................................................................................. 149
5.1
Request Fulfillment ...................................................................................................................... 149
5.2
Event Management ...................................................................................................................... 160
5.3
Access Management.................................................................................................................... 167
5.4
Incident Management................................................................................................................... 173
5.5
Problem Management .................................................................................................................. 184
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NGEN ITSM Process Interface Document
6 Continual Service Improvement ......................................................................... 196
6.1
7-Step Improvement Process ...................................................................................................... 196
6.2
Service Measurement .................................................................................................................. 204
6.3
Service Reporting......................................................................................................................... 205
7 IT Service Management Functions ..................................................................... 206
7.1
Service Desk ................................................................................................................................ 206
7.2
Technical Management ................................................................................................................ 208
7.3
IT Operations Management ......................................................................................................... 210
7.4
Application Management.............................................................................................................. 211
Appendix A
Revision History Archive ................................................................. 213
Appendix B
Abbreviations ................................................................................... 219
vii
NGEN ITSM Process Interface Document
1
Introduction
1.1
Purpose of Document
The main purpose of this Process Interface Document (PID) is to serve as an information
document for the Information Technology Service Management (ITSM) process contract
requirements in the NGEN Statement of Work (SOW) and Request for Proposal (RFP). It also
becomes the foundational information and starting point for NGEN’s process design teams who
will be architecting what the procedures, roles and technology the Government will need to
ensure standard ITSM operations across the NGEN enterprise.
1.2
Objectives
The objectives of this PID are to:
•
Document NGEN IT Service Management (ITSM) process specifications to support the
NGEN Statement of Work (SOW) and Request for Proposal (RFP)
•
Provide ITSM specifications that serve as a starting point for NGEN’s ITSM Processes
Development teams. This information represents what is defined as the B Level details in the
Process Design Pyramid (see figure 1 above)
1.3
Scope
Originally chartered by the NGEN Service Specification (SS) team to address Service Provider
seam issues, the ITM Center of Excellence team has developed this document to serve as the
reference document for process design teams tasked with scoping and refining processes to an
operational level.
The PID is based on the ITIL V3 framework and provides high level process flows, sub-process
descriptions, roles and responsibilities, and process specifications critical to the NGEN service
model. This PID references the five ITIL volumes and the NGEN Requirements document.
This document is organized under the headings: Service Strategy, Service Design, Service
Transition, Service Operations and Continual Service Improvement, as illustrated below.
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NGEN ITSM Process Interface Document
IT Operations
Management Function
Knowledge Mgmt.
Supplier Management
Evaluation
Application Mgmt.
Function
Technical Mgmt
Function
Service Catalog Mgmt.
Service Validation &
Testing
Information Security
Management
Transition Planning &
Support
Strategy Generation
IT Service Continuity
Management
Release and
Deployment Mgmt.
Demand Management
Capacity Management
Service Portfolio Mgmt
Availability Mgmt.
Service Asset and
Configuration Mgmt.
Problem Management
Financial Management
Service Level Mgmt.
Change Management
Incident Management
Service
Strategy
Service
Design
Service
Transition
Service Desk Function
Request Fulfillment
Event Management
Access Management
Service
Operations
Continual Service Improvement
Figure 2 ITSM Processes and Functions
Service Strategy provides guidance on the design, development, and implementation of service
management at a strategic level and is composed of processes for: Service Portfolio
Management, Service Financial Management and Demand Management.
Service Design translates strategic plans and objectives, developed in Service Strategy and
creates designs and specifications for execution through Service Transition and Service
Operation. Process areas covered under Service Design include: Service Catalog Management,
Service Level Management, Capacity Management, Availability Management, Information
Security Management, IT Service Continuity Management, and Supplier Management.
Service Transition takes the output of the Service Design and develops and improves
capabilities for transitioning new and changed services into operation. Process areas covered
under Service Transition include: Change Management, Service Asset & Configuration
Management, Release & Deployment Management, Transition Planning & Support, Service
Validation & Testing, Evaluation, and Knowledge Management.
Service Operation is the realization of the Service Strategy and Service Design and focuses on
delivering and maintaining services day to day. Process areas under Service Operation include:
Incident Management, Problem Management, Access Management, Event Management, and
Request Fulfillment.
Underlying each process is Continual Service Improvement as well as several ITIL functions,
namely IT Operations Management, Application Management, Technical Management, and the
Service Desk. These sections apply across the entire ITSM Lifecycle.
Roles and Responsibilities are generally grouped under the following headings, although other
roles may be included in a given process:
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NGEN ITSM Process Interface Document
•
Process Owner is the strategic role accountable for achieving standardized and repeatable
process performance. There is only ONE Enterprise owner for each process.
•
Process Manager is the tactical role that performs cross-segment coordination and runs the
day-to-day, end-to-end implementation of a process. There is only ONE Enterprise Manager
for each process.
•
Service Provider Lead is the operational role that coordinates activities and supervises
resources in the performance of process activities within their segment. There is only ONE
Lead for each process within each segment.
Governance
The following table lists the four primary activities responsible for governing each of the ITSM
processes, including the key roles described above and their authority in terms of RACI
(Responsible, Accountable, Consulted, Informed).
Governance
Establish
Process
Standards
Process
Performance
Management
Continual
Process
Required ITSM Process Specification
Process
Owner
Process
Manager
Service
Provider
Lead
Sponsor / Lead process design to ensure that the process,
tools, and policies are fit for purpose and meets the needs
of all stakeholders (enterprise wide, including
segment/service providers)
AR
R
CI
Ensure that all NGEN stakeholders (enterprise wide) who
are responsible for performing process procedures
understand and are capable of performing their role in the
process
AR
R
R
Provide training and support for customers/users and
providers/suppliers on the proper use of ITSM
procedures and tools
A
R
R
Interface with line management, ensuring that the process
receives the necessary staff resources.
AR
R
R
Define the Key Performance Indicators (KPI) to evaluate
the effectiveness and efficiency of the process
AR
R
CI
Generate reports on KPI reflecting overall performance
management
AR
R
I
Review KPIs and take action required to established
required levels or process performance (process adoption
and adherence)
AR
R
CI
Address any issues with the running of the process
AR
R
CI
Improve the effectiveness and efficiency of the process
through process modifications
AR
R
CI
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NGEN ITSM Process Interface Document
Improvement
1.4
Review any proposed enhancements or improvements to
the process
AR
R
CI
Provide input to the ongoing Service Improvement Plan
AR
R
R
Negotiate with segment / service providers on process
improvements (contract modifications)
AR
CI
I
References
NGEN Requirements Document, Version 2.0, March 2008.
NGEN Network Operations (NetOps) Concept of Operations (CONOPS), April 2008
NGEN ITSM COE Charter, October 2008.
ITIL Service Strategy, Office of Government Commerce, TSO: 2007.
ITIL Service Design, Office of Government Commerce, TSO: 2007.
ITIL Service Transition, Office of Government Commerce, TSO: 2007.
ITIL Service Operations, Office of Government Commerce, TSO: 2007.
ITIL Continual Service Improvement, Office of Government Commerce, TSO: 2007.
1.5
Assumptions
The process flows described in this document are meant to be high-level models depicting the
essential sequence of sub-processes to avoid potentially complex variations. The models are
baseline guides that will be used for further process development.
The full authority matrix of each process has not been determined to date. This involves
establishing the groups, functions and roles accountable and responsible for the processes and
sub-processes. There are still charters and strategies under development that could affect this
document.
Service Level Management
The scope of this document does not include the development of Service Level Agreements
(SLAs). The SLAs will be defined in the Key Performance Parameters (KPPs), Key Service
Attributes (KSAs) and Key Performance Indicators (KPIs) for each service (See NGEN Block 1
Increment 1 Service Specification).
1.6
Risks
To date, a list of risks relating to ITSM strategy have been identified and formally elevated to
Leadership which could have an impact on the NGEN initiative and, to a lesser extent, this
document.
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NGEN ITSM Process Interface Document
2
Service Strategy
Service Strategy focuses on the principles underpinning the practice of Service Level
Management that are useful for developing service management policies, guidelines and
processes across the ITIL Service Lifecycle. Key areas in this volume are: Strategy Generation,
Demand Management, Financial Management and Service Portfolio Management.
2.1
Strategy Generation
2.1.1
Process Overview
The Strategy Generation process provides strategic planning guidance on how to design,
develop, and implement IT Service Management as a strategic organizational asset. Strategy
Generation is a conceptual process that helps guide an organization towards achieving better
alignment between business needs and IT services, and the development and optimal utilization
of IT resources and capabilities.
Key Objectives of the Strategy Generation process are:
•
Determining what service to offer and to whom
•
Identifying how value can be created for the customer as well as how to capture it for the
organization’s stakeholders
•
Providing financial visibility and control over value creation
•
Defining service quality
•
Choosing from among alternatives the best path to improved service quality
•
Allocating resources efficiently across the Service Portfolio
Strategy Generation is a conceptual process that utilizes information and performance
measurement results from all areas of the organization, including all of the ITIL processes and
functional areas, as well as business unit performance. The overarching goal of this process is to
achieve optimal alignment between business needs and IT services.
Note that the ITIL process of Strategy Generation is intended to provide IT service management
guidance for senior business and IT executives to incorporate into the organization’s overall
strategic planning process. There is no formal ITIL process model for developing an
organization’s strategy, as widely divergent models exist depending on the vision, culture, and
size of the organization, as well as the industry(s) in which the organization operates.
However, Strategy Generation is intended to be considered as best practice guidance in helping
an organization achieves the following two prominent goals of the ITIL v3 framework:
•
Congruity between business needs and IT services (Business & IT Alignment)
•
Optimization of the organization’s portfolio of IT investments (Service Portfolio
optimization)
The following known tool interfaces requirements should be considered during further
development of the process:
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NGEN ITSM Process Interface Document
•
Service Knowledge Management System (SKMS)
•
Financial Management System (ERP, etc.).
2.2
Demand Management
2.2.1
Process Overview
Demand Management is the set of activities utilized to understand and influence customer
demand for services and guide the provision of capacity to meet these demands. This process is
primarily responsible for synchronizing consumption (demand) with the capacity (supply) of IT
resources. At a strategic level Demand Management can involve analysis of patterns of business
activity and user profiles. At a tactical level it can involve use of differential charging and other
incentives to encourage customers to use IT Services at less busy times.
Key Objectives of Demand Management are:
•
Identification, analysis, and codification of Patterns of Business Activities (PBA).
•
Organizing services into Core and Supporting packages
•
Packaging services based on demand
•
Planning and providing system capacity and availability.
•
Monitoring and reporting system performance
•
Modeling and forecasting system performance
Demand Management is a critical aspect of service management and is tightly coupled with
Capacity Management. Demand Management seeks to optimize the use of capacity (and
minimize cost of capacity provisioning) by proactively managing customer utilization of IT
services by shifting peak workloads to less utilized times, servers or places.
In summary, Demand Management comprises two primary activities (demand analysis and
demand shaping):
•
Demand Analysis: Identification and analysis of Patterns of Business Activity (PBA) and
user profiles that generate demand.
•
Demand Shaping: Utilizing techniques to influence and manage demand in such a way that
excess capacity is reduced but the business and customer requirements are still satisfied.
Demand management works in close collaboration with Capacity Management, Service Portfolio
Management, and Financial Management.
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NGEN ITSM Process Interface Document
2.2.2
High Level Process Model
The following diagram illustrates the high level process model.
Functional Owner:
Process Number:
Version:
Last Updated:
DEMAND MANAGEMENT
1.0 Evaluate Demand Requirements
Service Portfolio
2.0
Value and Classify Business
Demands
Financial
Management
3.0
Consolidated Business
Demand Patterns and
Forecasts
Availability
Management
1.0 Initiation of
Availability
Planning Process
4.0
Forecast Service Demand
5.0
Identify and Plan Demand
Management Initiatives
1.0 Initiation of Capacity
Mgmt THEN 11.0 Modify
Update Capacity Mgmt
Capacity
Management
Plan
6.0
Assess and Report Demand
Management Outcomes
Service
Portfolio
7.0
CSP (Includes one or more
SLPs)
1.0 NGEN Service
Strategy
Process Closure
Service Knowledge Management System(SKMS)
7. Implement
Corrective Actions
6. Present and Use
the information.
Configuration
Management System
(CMS)
Actionable Service
Catalog
Service Portfolio
CSI
ITIL 7 Step Process
5. Analyze the data.
1. Define what you
should measure.
2. Define what you
can measure.
3. Gather the data.
4. Process the data.
Figure 3 Demand Management Model
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NGEN ITSM Process Interface Document
2.2.3
High Level Process Descriptions
The sub-processes of the high level process model are described at a high level.
Number
Sub-process
Description
1.0
Evaluate Demand
Requirements
Evaluate patterns of the end-user behaviors and
relate those patterns to synchronize the
consumption (demand) with the capacity (supply)
of IT resources.
2.0
Value & Classify Business
Demands
Define a value-driven classification scheme for
NGEN demands and establish a set of criteria based
on criticality or other predetermined criteria.
3.0
Consolidate Business Demand
Patterns of Forecasts
Collect NGEN demand patterns and forecast
demand.
4.0
Forecast Service Demand
Produce detailed demand forecasts to be utilized in
capacity planning.
5.0
Identify and Plan Demand
Management Initiatives
Identify service demand patterns.
6.0
Assess & Report Demand
Management Outcomes
Baseline service demand patterns.
7.0
CSP (include one or more SLP)
Analyze service demand. Present the Core Service
Package (CSP) to describe in detail the core service
that may be shared by tow or more Service Level
Packages (SLP).
2.2.4
Seam Management Authority Matrix
The term seam refers to a connection or interaction between one or more organizations. It could
be an interaction between Government (DON) organizations, Government (DON) to IT Service
Provider, or IT Service Provider to IT Service Provider. The seam analysis helps to identify the
processes, people and technology required to coordinate end to end management of IT Services.
The following table provides key seam descriptions.
Seam
Seam Descriptions
TBD
The following tables identify key process activities and where possible, associate the required
ITSM process specifications with seams and key roles.
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NGEN ITSM Process Interface Document
Seam
Required ITSM Process Specification
NGEN will have a single source of record for all Demand Management artifacts (i.e.
forecasts, Core Services Packages.)
The authority matrix below identifies process activities that can be associated with key roles
and/or process seams. These relationships are documented in terms of RACI (Responsible,
Accountable, Consulted, and Informed). This table does NOT represent a RACI mapping to the
organization or sub-processes.
Seam
Required ITSM Process
Specification
Process
Owner
Process
Manager
(Enterprise
Demand
Manager)
Service
Provider
Lead
Business
Relationship
Manager
Establish a clear value-driven
classification scheme for business
demands (e.g. mission critical,
operational and discretionary
demand.)
CI
AR
R
R
Baseline service demand patterns to
identify significant changes in
demand.
CI
AR
R
R
Forecast patterns of business activity
based on location, volume,
frequency, and duration.
CI
AR
R
R
Identify opportunities to optimize
demand (reduce spikes in demands
and incentives to mold the PBA).
CI
AR
R
R
Produce a Core Service Package
(which may consist of two or more
Service Level Packages) for new
services after the introduction of a
new service or a material change in
demand.
CI
AR
R
R
2.2.5
Process Interfaces
Any process is triggered by an event or activity and associated artifact(s), and produces an output
which typically feeds into another process.
Interfaces
This process has a key relationship or dependency with the following ITSM processes:
•
Strategy Generation
•
Service Portfolio Management
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NGEN ITSM Process Interface Document
•
Financial Management
•
Capacity Management
•
Supplier Management
•
Service Level Management
Inputs
Consider the inputs to the process:
•
Analysis of patterns of business activity and user profiles
Outputs
Consider the outputs from the process:
•
Demand plan.
2.2.6
Roles
The following roles have been identified with the process.
Roles
Description
Demand Management Process
Owner
The strategic role accountable for the Process.
Demand Management Process
Manager (Enterprise Demand
Manager)
The tactical role that performs cross-segment coordination
by analyzing the demand for services for all Customer
groups (represented by Business Relationship Managers)
and producing demand policies consisting of Core Service
Packages (including SLPs) to optimally shape demand
with the overall enterprise capacity investment.
Business Relationship Manager
The customer advocate that communicates the forecasted
demand and service level package requirements (utility and
warranty) required by their Customer for each Service.
2.2.7
Performance Metrics
The effectiveness and performance of the process are measured using metrics-based Key
Performance Indicators (KPIs) which support high level Critical Success Factors (CSFs). The
CSFs and KPIs below are examples which may or may not reflect actual Key Performance
Parameters (KPPs).
CSF #
Critical Success Factors
1
Accurate Forecasts of Current and
KPI #
1
Key Performance Indicators
Percentage accuracy in predicted demand
cycles
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NGEN ITSM Process Interface Document
2
2.2.8
Future IT Service Demand
2
Reduction in capacity and performance related
Incidents
Effective Demand Management
3
Increased utilization of IT infrastructure
4
Decrease in idle capacity
5
Reduction in cost of IT service provision with
stable quality levels
Tools Interface Requirements
The following known tool interfaces requirements should be considered during further
development of the process:
•
Service Knowledge Management System (SKMS)
•
System Monitoring Tools
2.3
2.3.1
Service Portfolio Management
Process Overview
Service Portfolio Management is responsible for managing and optimizing the value of an
organization’s complete portfolio of IT services. A Service Portfolio consists of a service
provider’s ability to deliver services to specific customers and market segments. It is a dynamic
method for governing investments in IT Service Management across the enterprise and managing
them for long-term value. The Service Portfolio defines, measures, and manages all services
according to their defined business value, expressed as:
• Business Value = Utility (Fit-for-Purpose) + Warranty (Fit-for-Use).
Key Objectives of Service Portfolio Management are:
•
Defining the inventory of services, ensuring business cases, and validating portfolio data
•
Maximizing portfolio value, aligning and prioritizing, and balancing supply and demand
•
Finalizing proposed portfolio
•
Authorizing services and resources
•
Communicating decisions, allocating resources, and chartering services
The Service Portfolio includes all chartered services including new services or changes in the
pipeline, active services on the catalog, and retired services:
•
Service Pipeline (services that have been proposed or in development).
•
Service Catalogue (live services or those available for deployment).
•
Retired Services (decommissioned services).
The Service Portfolio is the tangible realization of the organization’s strategic objectives and
vision for IT as prescribed by Strategy Generation, and is highly dependent on data and analysis
Page 11
NGEN ITSM Process Interface Document
from Demand Management and Financial Management to analyze business cases for IT services
and make optimal IT investment decisions.
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NGEN ITSM Process Interface Document
2.3.2
High Level Process Model
The following diagram illustrates the high level process model.
Functional Owner:
Process Number:
Version:
Last Updated:
SERVICE PORTFOLIO MANAGEMENT
1.0 NGEN Service Strategy
Demand
Management
Financial
Management
Strategy
Generation
2.0
Define
Includes Preliminary
Prioritization
3.0
Analyze
4.0
Business Case
No
5.0
Approve?
Business
Relationship
Manager
Process Closure
Yes
6.0
Portfolio
Prioritization
Syncs with IMS, Acq Plan
7.0
Assign Service
Owner &
Resources
Service Catalog
Mgmt 1.0 Catalog
Item Add Modify or
Delete
Service Knowledge Management System (SKMS)
7. Implement
Corrective Actions
6. Present and Use
the information.
Service Portfolio
CSI
ITIL 7 Step Process
5. Analyze the data.
1. Define what you
should measure.
2. Define what you
can measure.
3. Gather the data.
4. Process the data.
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NGEN ITSM Process Interface Document
Figure 4 Service Portfolio Management Model
2.3.3
High Level Process Descriptions
The sub-processes of the high level process model are described at a high level.
Number
Sub-process
Description
1.0
Service Strategy
Determine how to design, develop, and implement
Service Management for the NGEN Program.
2.0
Define
Define services included in the NGEN Portfolio
(inventory services, ensure business cases, and
validate portfolio data, considering option space,
mission imperatives, compliance, trends, intangible
benefits, strategic or business fit, social
responsibilities, and innovation).
3.0
Analyze
Maximize portfolio value, align and prioritize, and
balance supply and demand.
4.0
Business Case
Long-term goals of the organization, which
services are required to meet those goals, and what
capabilities and resources are required for the
organization to achieve those services?
5.0
Approve?
Following established DoD guidelines, determine
budget allocation and categorize as mission critical,
growth, discretionary, non-discretionary, or core.
6.0
Portfolio Prioritization
Finalize proposed portfolio by authorizing
service(s) and resources. Categorize the outcomes
of existing services as either: retain, replace,
rationalize, re-factor, renew, or retire.
7.0
Assign Service Owner &
Resources
Monitor, measure, reassess, and rebalance
investments. Make trade-offs as NGEN needs
change. Seek an efficient portfolio with optimal
levels of ROI and risk.
2.3.4
Seam Management Authority Matrix
The term seam refers to a connection or interaction between one or more organizations. It could
be an interaction between Government (DON) organizations, Government (DON) to IT Service
Provider, or IT Service Provider to IT Service Provider. The seam analysis helps to identify the
processes, people and technology required to coordinate end to end management of IT Services.
The following table provides key seam descriptions.
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Seam
Seam Descriptions
TBD
The following tables identify key process activities and where possible, associate activity with
process seams and key roles.
Seam
Required ITSM Process Specification
NGEN will have a single source of record for all Service Portfolio items. This tool
will track Service Portfolio items from initial definition through analysis up to
retirement.
The Government (DON) will establish a clear definition of a request for service and
verify that the request has not been previously submitted or reviewed.
The Government (DON) will assign a Service Owner and appropriate resources to
complete the Service Design Package.
The authority matrix below identifies process activities that can be associated with key roles
and/or process seams. These relationships are documented in terms of RACI (Responsible,
Accountable, Consulted, and Informed). This table does NOT represent a RACI mapping to the
organization or sub-processes.
Seam
Required ITSM Process
Specification
Process
Owner
Process
Manager
(Enterprise
Service
Portfolio
Manager)
Service
Provider
Lead
Service
Portfolio
Management
Approval
Committee
Service
Owner
Ensures that the process is fit for
purpose which includes
sponsorship, design, process change
management and establishment and
monitoring of performance metrics.
A/R
C/I
C/I
C/I
C/I
Performs cross segment
coordination for: business case
analysis, requirements, financial
analysis, valuation, customer
requirements, and statement of
works. Ensures that the Service
Portfolio is accurate and up-to-date
and Process requirements are met.
I
A/R
C
C
C
For any new services not currently
in the Service Catalog, receives and
shepherds request for new services
through the Service Strategy
C/I
A/R
C
C
C
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processes.
Reviews requests for new services
(business cases) and approves or
rejects and prioritizes new requests.
C/I
C/I
I
A/R
C/I
Oversees Service Design, Request
for Change (RFC) process and
transition. Manages the services
until retirement.
C/I
C/I
I
C/I
A/R
Verify that a request has not been
previously submitted or reviewed.
C/I
A/R
R
R
R
Establish clear definition of a
request for service in addition to
verification that the request has not
been previously submitted or
reviewed.
CI
AR
R
R
R
Build a business case for each new
IT service request by documenting
the risk, cost, benefit, and Return
on Investment (ROI).
CI
AR
R
R
R
Analyze all requests to ensure that
investment and portfolio decisions
consider the projected values of
specific projects and services.
CI
AR
R
R
R
Evaluate the business case for
approval to be included in the
Service Portfolio.
CI
AR
R
R
R
Prioritize approved services based
on service strategy needs of the
enterprise and its relative value to
other portfolio items, available
resources, the IMS and budget
constraints.
CI
AR
R
R
R
Manage all IT services throughout
the lifecycle until retirement and
oversee activities related to Service
Design, Service Transition and the
Request for Change (RFC) process.
CI
AR
R
R
R
Ensure that requests for IT services
not on the Service Catalog must go
through Portfolio Management.
CI
AR
R
R
R
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2.3.5
Process Interfaces
Any process is triggered by an event or activity and associated artifact(s), and produces an output
which typically feeds into another process.
Interfaces
This process has a key relationship or dependency with the following ITSM processes:
•
Strategy Generation
•
Demand Management
•
Financial Management
•
Service Catalog Management
•
Supplier Management
•
Capacity Management
•
Service Level Management
•
Availability Management.
Inputs
Consider the inputs to the process:
•
Service Assets
•
Current services
•
Contract commitments
•
New service development
•
Continual process improvements on current services.
Outputs
Consider the outputs from the process:
•
Service Portfolio
•
Value Proposition
•
Business Cases
•
Priorities
•
Risks
•
Offerings and Packages
•
Cost and pricing models
•
Charter.
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2.3.6
Roles
The following roles have been identified with the process.
Roles
Description
Service Portfolio Management
Process Owner
The strategic role accountable for the Process.
Service Portfolio Management
Process Manager
The tactical role that performs cross segment coordination
for: business case analysis, requirements, financial
analysis, valuation, customer requirements, and statement
of works. Ensures that the Service Portfolio is accurate and
up-to-date and Process requirements are met.
Service Owner
A role that is accountable for a specific service, overseeing
Service Design, Request for Change (RFC) process and
transition. The Service Owner manages the service until
retirement and is responsible for its continual
improvement.
Service Manager
This role manages the development, implementation,
evaluations and on-going management of new and existing
products and services.
Service Portfolio Approval
Committee
Reviews requests for new services (business cases) and
approves or rejects and prioritizes new requests.
Business Relationship Manager
The customer advocate that communicates the forecasted
demand and service level package requirements (utility and
warranty) required by their Customer for each Service.
2.3.7
Performance Metrics
The effectiveness and performance of the process are measured using metrics-based Key
Performance Indicators (KPIs) which support high level Critical Success Factors (CSFs). The
CSFs and KPIs below are examples which may or may not reflect actual Key Performance
Parameters (KPPs).
CSF #
Critical Success Factors
KPI #
Key Performance Indicators
1
Optimal Portfolio of IT Investments
1
IT spend as a percentage of business
revenue/net income
2
Number of business-critical IT-enabled service
customer needs unmet
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2
3
2.3.8
Strategically Sound Investments in
IT Services (Meeting Current and
Future Needs of the Business)
Positive Financial Returns from IT
Investments
3
Percentage total organization’s budget devoted
to IT spend compared to direct competitors
4
Percentage customer satisfaction with current
IT service offerings (survey results)
5
Percentage of IT spend invested in nextgeneration technologies (transform the
business)
6
Percentage of IT spend invested in
enhancement of existing IT services (grow the
business)
7
Percentage of IT spend invested in
maintaining current IT technologies/operations
(run the business)
8
Percentage of IT investments resulting in
realized positive NPV (net present value)
9
Percentage of IT investments that meet or
exceed ROI (return on investment) targets
10
Percentage of IT investments that meet or
exceed VOI (value of investment) targets
Tools Interface Requirements
The following known tool interfaces requirements should be considered during further
development of the process:
•
Service Catalog/Ordering System
•
Service Knowledge Management System (SKMS)
2.4
Financial Management
2.4.1
Process Overview
The Financial Management process provides the business and IT with the quantification (in
financial terms) of the value of IT services, the value of the assets underlying the provisioning of
those services, and the qualification of operational forecasting. It includes all function and
processes responsible for managing an IT service provider's budgeting, accounting and charging
policies and activities.
Key objectives of Financial Management are:
•
Establishing and enforcing IT financial controls
•
Ensuring compliance with legal, industry, and corporate standards and procedures
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•
Assisting IT portfolio investment decisions by providing detailed business cases as well as
financial input for decision support
•
Effectively predicting and controlling IT budgets
•
Providing the enterprise with operational visibility, insight, and superior decision-making.
The overriding goal of Financial Management is to provide cost effective stewardship of the IT
assets and the financial resources used in providing IT services. Primarily this is to enable an
organization to account fully for the financial resources consumed by the IT service provider and
to attribute these costs to the services delivered to the organization’s customers.
This is accomplished by the categorization, collection and analysis of accounting, contract and
pricing data including the following typical cost elements:
•
Hardware and software license costs
•
Annual maintenance fees for hardware and software
•
Personnel resources used in the support or maintenance of a service
•
Utilities, data centre or other facilities charges
•
Taxes, capital or interest charges
•
Compliance costs
•
Transfer costs and internal charging by other business units/processes.
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•
2.4.2
High Level Process Model
The following diagram illustrates the high level process model.
Functional Owner:
Process Number:
Purchase answer to see full
attachment