Monday, May 26, 2008
ITIL standard has mass appeal
Tim Ferguson provides some information for ITIL framework which has be used in IT services improvement in the world wide. As he reported “Two-thirds (66 per cent) of companies around the globe are using IT infrastructure library (Itil) - the IT service delivery framework - to help manage their IT infrastructure.” Information about the performance, this information comes from the Dimension Data which is a managed services company. ITIL scored an average of three out of five - higher than any other framework - in a survey of more than 370 CIOs in 14 countries.
In term of the survey on taking ITIL framework in organization’s size, they found the size of organization has an impact on ITIL adoption with companies of less than 100 employees rarely using ITIL compared with 87 per cent of companies of more than 10,000 employees using it in some form.
In Tim’s report, he also mentions have another best practice drop off the ITIL implementation in organization. The Engagement best practices as Prince 2, ISO, CMMi, ASL, CoBIT and TQM.
Regarding to Tim’s report, ITIL framework has a good reputation round the world. Even the engagement best practices are coming up, but I believe ITIL framework will continues being used on IT services improvement.
Introduction to ITIL: Early US Adopters Show Business Value
Elizabeth Ferrarini is an IT consultant and freelance writer from Boston, Massachuetts. There have three examples this information about the ROI from the ITIL implementation. In Elizabeth’s report, he mention a news how ITIL support audiences getting benefits from Grater group. The news as following:
“Gartner Group describes ITIL as a roadmap for carrying out repeatable steps for managing technology. It sets out major procedures, goals, and directions for each of 10 different disciplines -- everything from incident management to service-level management -- that can turn IT into a service delivery system rather than an infrastructure made up of discrete processes. ITIL addresses those activities that an organization should do in order to keep processes in control. It can also help determine if a process is cost effective or not, and whether job descriptions should be changed.”
Also Elizabeth takes three successful examples to justify how ITIL framework improves the audience business. Three examples include Procter & Gamble, Caterpillar and Ontario Justice Enterprise. The information as next:
Procter & Gamble
Procter & Gamble, the Cincinnati, Ohio-based consumer products giant, embarked on ITIL in 1999 with a worldwide effort to streamline the number of applications help desks have to support. In just the past four years, Procter & Gamble has reportedly saved about $500 million. A study of savings within Procter & Gamble's finance and accounting IT departments showed a six percent to eight percent cut in operating costs and a 15 percent to 20 percent reduction in technology personnel. Procter & Gamble's most recent ITIL endeavor involved root-cause analysis of trends in help-desk requests. This initiative resulted in a 10 percent reduction in help desk calls.
Caterpillar
In 2000, Caterpillar, the Fortune 100 construction equipment and engine manufacturer based in Peoria, Illinois, used ITIL methods to address incident management for Web-related services. The ITIL team found that internal service providers couldn't meet the target response time of 30 minutes between 60 percent and 70 percent of the time. Now service providers surpass the 90 percent mark.
Ontario Justice Enterprise
Ontario Justice Enterprise, an agency that handles the Canadian government's court system, adopted ITIL in 1999 to help manage growth and to improve service to its internal customers. With 1,000 locations across Ontario serving 25,000 individuals, the agency was under intense pressure to provide more efficient services. The ITIL initiative spawned a virtual service desk that helped slash support costs by 40 percent. The service desk improved service-level monitoring and service request processing, ensuring that everyone worked together as a service-delivery chain. As a result of this agency's experience, other Ontario federal government agencies have adopted ITIL principles.
To sum up, even though the previous examples no more details to talk about the ITIL five basic elements, business perspective, application management, service delivery, service support and infrastructure management, but those examples represent the values from induction the ITIL framework to the business is quite shine. I got more senses from Elizabeth’s report, but the feeling is rough and not enough.
Bank of America and ITIL
http://www.fisc.com.tw/FISCWeb/FISCBimonthly/Article.aspx?Volume=42&TNo=31
https://www.itsmf.com/upload/conference2002/Bank%20of%20Ameriica.pdf
BOA (Bank of America) the world headquarters in Charlotte, N.C. (North Carolina), the Global Corporate and Investment Banking group has offices in 35 countries serving clients in more than 150 countries, with associates in major business centers in the Americas, Europe and Asia.
The consumer and commercial banking operations serve more than one in four households in the United States, transacting with more than 150 customers per second. In order to support its service operation, its IT system and organization complex it can be imagined.
Cause of BOA wants to be best in the world. They take the ITIL methodology to support them Overcome Organizational and Culture Differences with a unify operation. Out Perform the Competition in both Quality and Cost. Allow for continuous process improvement to reach and ultimately exceed the industry benchmark and such. They started the ITIL project at 2003 with Global Consultancy Company. Begins in inducts ITIL components as IT Service Management, Problem Management, Change Management, Configuration management and Asset Management. These processes are critical to improving production quality assurance.
During the cooperation with Global Consultancy Company, in term of the different phases of management marital identifying, current state assessment, planning the process, design and deployment, this experience discovered that during inducts ITIL processes, the items as:
- INVENTORY MANAGEMENT: Provide detailed real-time information defining what, when, where, and how much for all components.
- ASSET MANAGEMENT: Manage and optimize the cost, retention, and ultimate disposal (the lifecycle) of IT assets which includes Hardware, Software, Communications and Staff.
- CONFIGURATION MANAGEMENT: Provide enterprise wide, real-time component information (hardware, software, et al.) and incorporate new resources as required, such as provide historical information and provide relationship information.
Those to achieve the effect which initially established, its partner's consultant ability, carries out ability, the execution to deliver and uses the tool is decided that inducts the result is an important attribute. With the ITIL project, that will enable BOA’s IT organization capable to provide and the design the processes on IT management with Business Views, then adds more value to their business operation, this will realize ITIL to achieve it.
In conclusion, by the BOA example, I can see this is understandable on ITIL inducts will be take a longer time and performs each process step by step. If ITIL induction outsourcing with other company, this components for that company’s consultant ability, carries out ability, the execution to deliver and uses the tool is decided will affect the results on ITIL induction successful or failure.
Sunday, May 25, 2008
ITIL run at Taipei City Hospital
Taipei City Hospital (TCH) actually is a Union Hospital, this hospital includes ten hospitals is dispersed in Taipei different regional, for this hospital management to be more effective on the service, the teaching and the research quality are better, by the concept of centralized management and decentralized processing, makes the resources most effective. The hospital is one of the possibility place to have each kind of sudden outbreak, moreover it is affect a human life, if the information system cannot respond promptly, creates the risk is nobody may come to undertake. The hospital decided that establishes a set of IT management construction, lets each person's potency enhance largely, establishes a central information centre (more than 30 middle size server and main frame), first is centralized the equipment and personnel, and then reconstruct the entire IT infrastructure.
After central information centre establishment, faces to IT management aspect. Just one question could very possible involve to others simultaneously (more than 4,000 computers in various area). According to the ITIL concept, needs to define the clear the personnel's role, which matter should be done by a person. This idea is the reason of TCH inducts ITIL precisely. This also becomes the key point on TCH information management system rallying. Simultaneously lets the front end and back end person know that which matters each one can handle, how to illustrate their function to deal with the issue, however the confliction can be reduced.
TCH must have a good methodology to handle the 10 hospital's front end service management. This is the reason why TCH inducts ITIL framework, because ITIL includes the Incident Management, Problem Management, Configuration Management and other modules unify the information in CMDB. That may the advantage on discovers the real problem in case. Moreover ITIL concepts can also help people classify and solving the work, person, organization and equipment's matter. Actually some 80% events, the real issues possibly only occupied about 20%. In other words, so long as fixes about 20% real problems, which may solve about 80% problems. If TCH does not have ITIL implementation, it is unable to know that, which the issues do TCH have, where the issues come from? Whichever come from equipment or people?
After inducting ITIL framework, TCH know many matters from the IT management. It comes from the basic service quantity, equipment quantity, equipment's service condition, or personnel administrative condition. Is the operation working smooth or the service quality to be good, those have the objective data to be possible to consider. In term of the front end people, ITIL the most attraction for them, the work flow itself has not changed actually, but lies in the lifting efficiency at the same time.
The goal on Inducts ITIL framework, not only establishes the service desk, the most important things is let the IT department have more value, it represent on the quality, to be possible the quantification, to be possible to manage and working flow standardization. That is helpful to reduce people’s doubts and the complaint regarding to the IT department, and refine the IT department's value as well.
TCH induct ITIL start at June, 2006, establishes the service desk and the Incident management estimated that six months must complete, that is shorter compare to overseas possibly require two year, but the ITIL ten flows are the plan must complete completely in two years. After inducting ITIL, may let the development personnel concentrate on system innovation, develops the new system or provides the new software service, which can affect the medical service quality naturally. For example, after inducts PACS system's in hospital, patient take a testing on X-ray, possibly must wait for 15 minutes doctor to be able to obtain the result, and then continues the diagnosis. Now, the PACS can provide the result to the doctor when the patients possibly return to the consulting room.
ITIL may assist the IT personnel to solve the basic problem, but is not soling on event only. Change the situation from waiting to do not use to waiting, from passive way pass to initiative side that is one kind of significant improvement.
In summary, I know that in the majority cases, it is the intangible efficiency which ITIL framework brings. That represents in work sharing, on time consuming and money. As the last paragraph said that, if we can change the situation at event handling on waiting to do not use to waiting, from passive way to the initiative side on the processing flow, it is a significant improvement. Even it is intangible on the changing. But we can feel it is effective.
Saturday, May 24, 2008
Uses the ITIL 2nd edition to build the foundation first and then upgrade again.
Brian Johnson one of the ITIL founders is also the IT service management forum (itSMF) originator, present serves in CA’s ITIL to practice manager. He provided some idea to enterprise what is the ITIL 3rd edition key value? And who should face to the ITIL 3rd edition? Understand the core spirit before implementation. He aims at the detailed explanation how to select a correct ITIL framework version base on enterprise self requirement. As well as the key propose on ITIL Version 3 induction.
The ITIL 3rd edition has been published since May 2007, the service construction and life cycle's vision that has made the person a shine for it, but people get the puzzlement later on.
Johnson explain the different ITIL version between 1 and 3. What's the biggest difference on ITIL 3rd edition compared to version.1 and version.2? Each edition emphasis key point is dissimilar, for example version.1 and version.2 talked about IT service many are may choose (optional), or provided you a direction (guidance), but the 3rd edition, these things will be must (you should) probably working on. In the 3rd edition will advise (recommend) the enterprise to go to do, this will be 3 edition most main differences.
ITIL Version.3 is not uses for version.2 replacement. When the version.2 implementation is completed then can consider induction version.3 again at further. There has an assumption on version.3. it suppose the enterprise already to use ITIL v.2 to be very long, therefore enterprise expect their business more better, then upgrade to ITIL version.3. In other words, if enterprise inducts ISO 20000 very for a long time, wants to look for some better method, may also consider ITIL version.3. Enterprise selects the ITIL edition must according to their needs to decide that which edition can induct. Version.3 may not suitable for every enterprise.
If enterprise already achieves on ISO 20000 authorization, base on that foundation then can inducts ITIL version.3. Is necessary to upgrade to ITIL version.3? That depends on enterprise's commercial demand. What the enterprise needs to appraise is necessary take more investment improve to these standards? It is not for the ISO standard or ITIL certification and then works on the ITIL version.3.
If enterprise wants to take the ITIL version.3, they have to understand version.3 must the whole induction, it cannot be promote partially. It doesn’t like version.2 is service transmission, has more option. But version.3 is necessary whole induction.
When the enterprise inducts ITIL version 3 and provide the real services, how the enterprise can choose which part should play attention first? They can take the idea from Service Operation, as well as Service Transition books. According to the suggestion inside the book, think about what service is the enterprise wants to provide, whether all necessary flows did have, if does not have to probably make up these flows first and keep going.
If enterprise's IT management has not achieved on mature situation, but they want have better control on their working flow, which suits taking the ITIL version.2 methodology. If the enterprise many IT operations had been already mature, wants to advance manage on IT service life cycle, uses ITIL version.3 further.
In my view, ITIL framework establishment not one day and one night may become, it takes time and money, because the processes involve many subjects during the implementation. The category already depth also is broad. If take a wrong way, waste money and time. I strong agree as Brian Johnson mention, if enterprise faces to ITIL framework, they should divides the processes into short, middle and long term goal and then implement ITIL framework gradually. If enterprise doesn’t clear understand their IT management is it standing on the mature situation, find a consultant to do an assessment first. According to the assessment result, make up the weaknesses area and then take the ITIL Version.2 for the entrance. The achievements can obtain easily.
Top 10 things IT managers should know about implementing ITIL
Pink Elephant firm represent 10 important points which we should consider on ITIL implementation. What’s the idea for those important points? It has been listed as the following:
- ITIL implementations need to be managed as formal projects.
- It takes resources, including time and money.
- It will require education and training.
- More than ITIL processes will change.
- A strong communication plan will need to be executed.
- It takes management commitment and participation.
- The organizational culture will need to change.
- There will be resistance.
- It takes everyone's involvement.
- Every manager should know about implementing ITIL is: It's worth doing!
To be successful, we should have an overall vision and strategy. After that, we must have a project manager to manage all the activities which include consultants, communication, identify requirement, organizing funding, people, resources and such before starting the project. During ITIL implementation, we should provide the education or training to related member, because everyone should speak the same language on project interaction.
Focus on the ITIL implementation, the level of attention should from the very top on down, involves all IT staffs to develop and implement of the processes. In term of Technology has to support new processes and other existing business processes migration. That means new roles have to be created during the implementation. The company cultural issues would be change by the new policies and procedures.
For that culture conflicts, senior management plays a key role to communicate with the stakeholders and show visible commitment often. During the company culture conflicts, some people could leave their position; Leaders must be prepared to manage this aspect of change effectively in order to help the organization move quickly from resistance and denial to acceptance. Because of this affection is predictable. Avoiding that issue, don’t focus on just one group or department; get everyone's input. All stakeholders can make a valuable contribution.
Getting many people involved as possible creates a sense on ITIL implementation for improve business service delivery with effectiveness and efficiency IT processes. Move the company from a reactive to a proactive business operation.
In my view, those idea not only use in the ITIL framework implementation. It is also important in every project implementation. Each project can not missing the elements as Time, Money, Resources, communication and Management. Well-planning and strong communication can reduce the confliction during the business integration.
Friday, May 23, 2008
Acer eDC got the ITIL certification on ISO20000
http://www.fisc.com.tw/FISCWEB/FISCBimonthly/Article.aspx?Volume=42&TNo=3
http://www.zdnet.com.tw/news/software/0,2000085678,20121502,00.htm
Acer eDC is Taiwan fourth organization obtains the ISO 20000 authentication, after inducting ITIL; the eDC system raises the availability to 99% above. Also indirect response in eDC business growth though standardized IT service.
The biggest reason on Acer eDC inducts the ITIL framework is they want to improve the system availability. Before inducting the ITIL standardized flow, the firewall equipment's configuration or setup changing are depending on engineer's individual experience, and has not requested to leave the change record. Cause of the configuration depend on the engineer’s experience, firewall's availability was respectively once lowered to only then 60%. This lets us realize profoundly, it is necessary to induct a set of management methodology to improve the IT service quality. Decides to use ITIL, because ITIL has developed many years, already has the education, training, consultant and management tool, compares to self develops the flow to be more effective voluntarily, therefore has chosen the ITIL standard.
As the firewall's usability problem, after inducting the Change Management to solve that problem, firewall equipment's system availability has achieved above 99%. Except the improvement system availability matter, Acer eDC also penetrates ITIL to improve staff's cost benefit concept. Enterprise implements ITIL to be helpful to let IT service cost transparence.
Introduce ITIL for solving the IT problems, not for to obtain the authentication to authenticate, starting at the most urgently problem needs to be improved. Step by step to increases each kind of flow base on the ITIL standard, Solves the first question, after treating ITIL inducts maturely, then carries on the authentication. The advantage start on the simple way and step by step, the achievements is easily to obtain. Moreover this way is quite easily to be winner.
Take Acer eDC as the example, focus on the business standardized working processes, they delegate a 7-8 members team take the responsibility to set up those things about four years. The cost on visible manpower approximately (does not count education and training) between 25 – 30 million new Taiwan dollars. The second main investment is focus on the platform tool's purchasing. As Acer eDC experience the tools cost approximately between 5 – 7 million new Taiwan dollars.
Read though this article, I can see Acre made a good example for every one interested on the ITIL best practice. Acer takes the ITIL framework to improve their business, identify the goals with their business strategy, practices their plan carefully and analyze the requirement correctly, also strive the working flow perfection unceasingly. Today, the advantages of ITIL framework implementation, Acer not only just have the authorization and lead the industry. After the ITIL implementation, their revenues also increased significantly, the figures represent more than ten times form the year 2002 to 2007. They did a very good job.