Managing the IT Services Process This page intentionally left blank Managing the IT Services Process Noel Bruton AMSTERDAM BOSTON HEIDELBERG LONDON NEW YORK OXFORD PARIS SAN DIEGO SAN FRANCISCO SINGAPORE SYDNEY TOKYO Butterworth-Heinemann An imprint of Elsevier Linacre House, Jordan Hill, Oxford OX2 8DP 200 Wheeler Road, Burlington, MA01803 First published 2004 Copyright © 2004 Noel Bruton. All rights reserved The right of Noel Bruton to be identified as the author of this work has been asserted in accordance with the Copyright, Designs and Patents Act 1988 No part of this publication may be reproduced in any material form (including photocopying or storing in any medium by electronic means and whether or not transiently or incidentally to some other use of this publication) without the written permission of the copyright holder except in accordance with the provisions of the Copyright, Designs and Patents Act 1988 or under the terms of a licence issued by the Copyright Licensing Agency Ltd, 90 Tottenham Court Road, London, England W1T 4LP. Applications for the copyright holder’s written permission to reproduce any part of this publication should be addressed to the publisher Permissions may be sought directly from Elsevier’s Science and Technology Rights Department in Oxford, UK: phone: ((cid:2)44) (0) 1865 843830; fax: ((cid:2)44) (0) 1865 853333; e-mail: [email protected]. You may also complete your request on-line via the Elsevier homepage (www.elsevier.com), by selecting ‘Customer Support’ and then ‘Obtaining Permissions’. British Library Cataloguing in Publication Data Acatalogue record for this book is available from the British Library ISBN 0 7506 57235 For information on all Butterworth-Heinemann publications visit our website at: www.bh.com Composition by Charon Tec Pvt. Ltd, Chennai, India Printed and bound in Great Britain Contents Computer WeeklyProfessional Series ix About the author xi About this book xii Preface xiii List of figures xix List of case studies xix 1 Introduction 1 1.1 Why this book: causal factors 1 1.2 Purpose and scope 2 1.3 Special disclaimer 3 1.4 Electronic version 3 2 Identifying IT services 4 2.1 The service culture 4 IT services as a technology group 4 IT services as a business 5 The consequence of competition 5 2.2 Who is responsible? 11 2.3 Astructural basis 12 2.4 The IT delivery process 12 Market understanding 12 Affordability 13 Demand assessment 15 Services design 16 v Contents Staffing 17 Service publishing 18 Point of service availability 21 Operational procedures/service delivery 21 Measurement 22 2.5 The difference between a service and a process 22 2.6 Principles of service identification and design 24 2.7 Going into detail – types of services 25 3 The services 33 3.1 The specifics of individual service design 33 3.2 The service list 39 3.3 Applying service levels 44 3.4 Wasted service levels 45 3.5 Differentiated service levels 47 3.6 Why we must formalize service levels 50 3.7 Client categorization 52 3.8 Service level examples 53 4 The processes 56 4.1 Designing processes 59 Extended service process identification 59 method Abridged service process identification 62 method 4.2 Process/procedure design – management 63 or staff responsibility? 4.3 Interfaces 67 Common (GND) 68 Data terminal ready/data set ready (DTR/DSR) 70 Transmit (TXD) 70 Receive/acknowledge (RXD/ACK) 71 Receive/non-acknowledge (RX/NAK) 71 4.4 Processes in practice 72 4.5 The change management process 75 Standard change 76 Non-standard change 77 4.6 Some IT services procedures 79 4.7 Procedures in the non-standard change process 84 5 IT services organization 85 5.1 Relating to the business 85 5.2 Adichotomy of structure 86 5.3 Towards a basic IT structure 88 5.4 IT structure – the present–future split 91 5.5 The ITSC – The core of IT management 95 vi Contents 5.6 Functions in the IT department 96 5.7 IT development 97 5.8 IT administration 99 5.9 IT services 104 5.10 IT services geography 105 Central IT functions 110 Regional IT functions 113 Local IT functions 114 6 Staffing 116 6.1 We’ll always need people 116 6.2 Management causation of staff requirements 117 6.3 The right people 120 6.4 Hierarchy 123 6.5 Career path 125 6.6 Performance and motivation 127 6.7 Managing skillsets 133 6.8 How many people? 134 6.9 Mixing responsibilities 136 6.10 The extended day 136 6.11 Managing small-scale projects 138 7 Client relationships 140 7.1 Who is the IT services client? 140 The implications of ‘customerhood’ 140 Who consumes what 141 7.2 Corporate responsibility 142 7.3 User competence 143 7.4 The user as a corporate asset 143 7.5 The question of affordability 145 7.6 The decline of customer service 147 7.7 Client roles in the service process 150 7.8 Formal user roles 156 The ‘key user’ 156 IT co-ordinator 157 Client-side manager 157 7.9 The service level agreement 158 8 Managing service delivery 162 8.1 The service level agreement (revisited) 162 8.2 The service catalogue 166 8.3 Financing IT services 166 ‘Market approach’ 166 ‘Micro-economy approach’ 168 8.4 Cost justification 170 vii Contents 9. Measuring IT services 173 9.1 Tactical view of measurement 173 9.2 Strategic view of measurement 176 9.3 The ‘big four’ statistics 179 9.4 Quantifying the unquantifiable 182 10 Reporting 187 10.1 Data for data’s sake? 187 10.2 Data-centric and decision-centric reporting 189 10.3 Snapshot reporting 190 10.4 Reporting in isolation 191 10.5 Reporting as a customer interaction 193 SLAreviews 193 Reporting as a service 195 Reporting as public relations 195 10.6 Operational reporting 196 11 Tools 197 11.1 Outline of IT services tools 197 11.2 Why no purpose-built IT services tools? 201 11.3 The ‘point of commonality’ 203 11.4 One concept to link all IT services operations 203 11.5 Projects and tasks 205 11.6 Match the tool to the process 209 12 Conclusions 211 12.1 Greenfield site? 211 12.2 Subsuming the helpdesk 211 12.3 Taking mature IT services back to basics 213 12.4 Power and authority to act 214 12.5 IT industry events encourage service change 216 12.6 Last words 217 Index 219 viii Computer Weekly Professional Series There are few professions which require as much continuous updating as that of the IS executive. Not only does the hardware and software scene change relentlessly, but also ideas about the actual management of the IS function are being continuously modified, updated and changed. Thus keeping abreast of what is going on is really a major task. The Butterworth-Heinemann – Computer Weekly Professional Series has been created to assist IS executives keep up-to-date with the management ideas and issues of which they need to be aware. One of the key objectives of the series is to reduce the time it takes for leading edge management ideas to move from the aca- demic and consulting environments into the hands of the IT practitioner. Thus this series employs appropriate technology to speed up the publishing process. Where appropriate some books are supported by CD-ROM or by additional information or templates located on the Web. This series provides IT professionals with an opportunity to build up a bookcase of easily accessible, but detailed informa- tion on the important issues that they need to be aware of to suc- cessfully perform their jobs. Aspiring or already established authors are invited to get in touch with me directly if they would like to be published in this series. Dr Dan Remenyi Series Editor [email protected] ix