1. The Real Deal: Developing Your Service Portfolio and Catalog – Session 204

2. Agenda Introductions Service Portfolio vs. Service Catalog Who Cares? Show the Value of IT! Where to Start Agile Approach – Assess – Design – Adopt – Improve – Control Summary Learn More!

3. Introductions Paul Solis – Cask, LLC You – Who has implemented a Service Portfolio and Catalog in their organization? – Who has used Agile techniques for process or service design?

4. Service Portfolio vs. Service Catalog AudienceService PortfolioService Catalog Business Improves perception of service quality on business-critical IT services Complete definition of business investment in IT Simplifies process for requesting services from IT Introduces self-service ordering mechanism IT Defines service cost Clearer understanding of support and management of services Improves IT’s credibility with the business Automates order-to- delivery process for services Centralized ordering point reduces out-of-process requests

5. Who Cares?

6. Show the Value of IT! Business Services Service Name and Description SLA Service Cost Customer Experience Meaningful and memorable Well thought through services Target specific customers Tell customers what they get and how much Educate customers Easy to use

7. Where to Start Service Portfolio first! Start top down with customer facing services: – Engage the business – not with a blank sheet of paper – Define the current business services – Demonstrate how they are bundled and packaged – Define business outcomes and value Service Portfolio becomes the service- decision making framework The Service Portfolio is a solid foundation to instantiate a customer- facing Service Catalog Through 2013, 70% of IT organizations with an IT service portfolio management project will rush to develop the IT service catalog as a customer-ordering mechanism before documenting their IT service portfolios. By 2015, 80% of IT organizations that developed their IT service catalogs prior to their IT service portfolios will suffer the additional cost of overhauling the service catalog contents once the portfolio is defined.* Through 2013, 70% of IT organizations with an IT service portfolio management project will rush to develop the IT service catalog as a customer-ordering mechanism before documenting their IT service portfolios. By 2015, 80% of IT organizations that developed their IT service catalogs prior to their IT service portfolios will suffer the additional cost of overhauling the service catalog contents once the portfolio is defined.* * Source: Gartner

8. Traditional vs. Agile Approaches Traditional ITSMAgile Service Management Cookie cutter process diagrams that require an organization to fit into something that doesn’t work for them A stack of non-actionable documents Unfocused; Let’s Implement ITSM Long overextended engagements Focus on processes and tools first and understanding the organization last Lack of customer interaction, communication and adoption strategies A process focus rather than a service- oriented focus Combination of industry best practices including ITIL, Lean Six Sigma and ISO/IEC 15504 Agile focus on high priority goals, “customer stories”, to rapidly provide tangible results Aligning services and processes to organizational mission and goals Repeatable to focus on “real” service and process quality improvement Continuous feedback throughout

9. Agile Approach – What is Agile AGILE - Marked by ready ability to move with quick easy grace (www.merriam-webster.com) Agile Service Management embraces agile principles by: – Executing high involvement strategies to enable the people who will be executing the process to design process that meet real needs – Enabling changing priorities to ensure the effort addresses the most pressing needs the business faces even as those needs change over time – Implementing frequent feedback cycles to ensure course corrections occur early in the implementation cycle – Delivering frequently to ensure the organization gains efficiencies early and often through out the overall effort.

10. aSM™ for Portfolio and Catalog – Phases

11. Sample Agile Iteration Usually between 3-4 weeks If it is too long you are no longer delivering service design quickly Continuous Daily Feedback Next Iteration

12. Assemble aSM™ Team Agile Lead – Coordinates the team’s efforts Team Members – Bring subject matter expertise to assessment, design, improvement, adoption and control activities Customers – Represent the service users Stakeholders – Have a significant interest in the results of service execution Service Owner – Manages the service under development or improvement Executive Champion – Top down leadership that will support overall portfolio project and resource requirements

13. Customer Stories “Customer stories” are equivalent to “User stories” as defined by Agile Software development methodologies (i.e. SCRUM) Demand Management – Services that customers need first and want second (not something that IT needs or wants) – Use data collected to decide which customer(s) to start with Terminology: – Customer  Who – Action  What – Achievement  Result Service design should address the “How” for these stories As a I want to so that. Assess

14. Data Collection Know what Services you currently provide to which Customers Identify Service Owners Use data collection form to gather information from customers and IT You will use information collected to understand which customers you will target first Bonus Material Assess

15. Prioritize Stories and Services Create a “Services Backlog” register that describes the type of work to be done Use your defined iteration time to determine how much work can be done within that time Assign team member(s) to develop the services and attributes assigned Assess Low High Priority Services Backlog

16. Schedule Regular Feedback Set up daily 15 minutes morning feedback meeting to ensure iteration is on target Facilitated by Agile Lead Typical attendees: Agile Lead, Service Owner(s), Team Member(s), Stakeholder(s) Customer(s) should be invited weekly at a minimum to provide collective feedback Design Who am I?

17. Define Services and Attributes What to name the service(s) A description that is meaningful to the customer Who are the customers of the service(s)? Who is the service owner? What are the associated service level agreements (SLAs)? If any. Does the service belong to a service family? What does the service cost? Design

18. Service to Process Mapping Need to ensure there are ways to deliver and support the Service: How does the Service get delivered? – Request Fulfillment How are issues with the Service handled? – Incident Management – Problem Management How can the Service be changed in the future? – Change Management – Service Portfolio and Catalog Management Design

19. Service Costing Inputs Capital Expenses – Applications – Traditional Licensing – On-premise Hardware Operating Expenses – Labor and support (Internal and External) – Cloud (SaaS, IaaS, PaaS) Other Expenses – Training – Marketing Build a repeatable Service Costing Model Design

20. Determine Orderable Services Tangible items or services customers can order Transition these items, attributes and costing into the Service Catalog Organized by Service Hierarchy developed within Service Portfolio Design

21. Marketing “If we build it they will come” doesn’t work in the real world Build a marketing plan that can be executed every time a set of major services are released into the Service Catalog IT in a sales and marketing role Things to include: – Strategy – Value proposition – Delivery mechanisms (i.e. social, emails, intranet, posters, all-hands, etc.) – Testimonials - remember your customers as part of the aSM™ team? – Training Adopt What movie is this from?

22. Customer Training Training plan Schedule Easy Access – Live classroom – Recorded What’s in it for me? – Align to employee goals – Situational usage On-going maintenance Adopt

23. Publish the Catalog Services User-friendly – Easy navigation – Familiar consumer experience Transparency to customer Soft launch first – Gather testimonials – Work out any kinks – Ensure end-to-end request fulfillment process is operational and effective Go Live! Improve

24. Re-Prioritize Stories and Services Time for the next iteration Services Backlog needs to be reprioritized – Customer priorities change – People change roles – Resourcing availability and skillsets change – Leadership direction changes – New regulation requirements Control Low High Priority Services Backlog

25. On-going Management Service Backlog register Integration with Change Management Periodic reviews of the process Measures for success: – # of new services – # of customer stories fulfilled – New service request fulfillment success rate (%) Control Bonus Material

26. Summary Service Portfolio first! Agile approach to Service Portfolio and Catalog enables an organization to – Engage with the customer – Keep up with changing requirements – Deliver results faster Don’t bite off more than you can chew!

27. Learn More… Questions and Answers Contact me directly for more information on Agile Service Management Paul Solis Phone: 619-274-0459 Email: paul.solis@caskllc.compaul.solis@caskllc.com @caskllc Find me on LinkedIn

28. Thank you for attending this session. Don’t forget to complete the evaluation!