1. Business Relationship Management
ITIL V3
Business Relationship Management 1

2. Business Relationship Management (BRM)
Customers own and operate configurations of assets to create
value for their own customers. The assets are a means of
achieving outcomes that enable or enhance value creation.
BRM

3. Business Relationship Management (BRM)
It is important for managers to gain a deep insight into the business they serve or target. This includes identifying all the outcomes for every customer and market space that falls within the scope of the particular strategy.
See example Service Requirements, found in this toolkit.
BRM

4. Business Relationship Management (BRM)
For the sake of clarity, outcomes are classified and codified
with reference tags that can be used in various contexts across
the Service Lifecycle.
BRM

5. Business Relationship Management (BRM)
Business Relationship Managers are responsible for gaining
insight into the customer’s business and having good
knowledge of customer outcomes, this is essential to
developing a strong business relationship with customers.
See example BRM job description & BRM Responsibilities and Skills, found in this toolkit.
BRM

6. Business Relationship Management (BRM)
BRM’s are ‘customer focused’ and manage opportunities through a Customer Portfolio. In many organizations BRM’s are known as Account Managers, Business Representatives and Sales Managers.
BRM

7. Business Relationship Management (BRM)
Internal IT Service Providers need this role to develop and be responsive to their internal market. They work closely with Product Mangers who take responsibility for developing and managing services across the lifecycle. They are ‘product focused’ and perceive the environment through a Service Portfolio
See example Use of the Service Portfolio, found in this toolkit.
BRM

8. Business Relationship Management (BRM)
Customer outcomes that are not well supported represent
opportunities for services to be offered as solutions. Some
outcomes are supported by services existing in a catalogue.
Other outcomes could be supported by services in the pipeline
but currently in the design and development phase.
See example Service Catalogues & 8 Steps to Developing a Service Catalogue, found in this toolkit.
BRM

9. Business Relationship Management (BRM)
Outcomes that are presently well supported are periodically
reviewed. New opportunities emerge when changes in the
business environment cause a well-supported outcome to
become poorly supported.
See example BRM Metrics and Reports, found in this toolkit.
BRM

10. Business Relationship Management (BRM)
An outcome-based definition of services ensures that managers
plan and execute all aspects of service management entirely
from the perspective of what is valuable to the customer.
Such an approach ensures that services not only create value
for customers but also capture value for the service provider.
BRM

11. BRM - Segmentation
Service Level Packages are effective in developing service packages for providing value to a segment of users with utility and warranty appropriate to their needs and in cost-effective way.
See example Service Options, found in this toolkit.
BRM

12. BRM - Segmentation
SLP’s are combined with Core Service Packages to build a Service Catalogue with segmentation. This avoids underserved and over served customers and increases the economic efficiency of service agreements and contracts.
BRM

13. BRM - Segmentation
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14. BRM - Segmentation
CSP’s and SLP’s are each made up of reusable components
many of which themselves are services.
Other components include software applications, hardware
licenses, 3rd party services and public infrastructure services.
Some components are assets owned by customers.
BRM

15. BRM - Segmentation
Making component services visible to customers on the Service
Catalogue is a matter of policy with respect to pricing and
bundling of services.
Risks have to be considered for decisions on expanding the
Service Catalogue.
BRM

16. BRM - Segmentation Outcome-based segmentation improves the focus and
specialization for service providers in truly meeting customer
needs.
Each Line of Service (LOS), within the Service
Catalogue, has one or more service offerings and each service
offering is made up of CSP’s and SLP’s.
BRM

17. BRM - Segmentation
This modular approach provides multiple control perspectives
within the Service Lifecycle. It is the responsibility of the
Business Relationship Manager (BRM) to identify the most
suitable combination of LOS and SLP for every customer
outcome they are concerned with.
See example Mapping Responsibilities & Requirements, found in this toolkit.
BRM

18. BRM - Segmentation
This component based approach greatly reduces the cost of
providing services while maintaining high levels of customer
satisfaction.
BRM’s represent customers and work closely with Product
Managers to ensure that the Service Catalogue has the right mix
of LOS and SLP to fulfill the needs of the Customer Portfolio.
BRM

19. Business Relationship Management
ISO/IEC 20000
Business Relationship Management is also a process found within the ISO standard. Whether you choose to work towards attaining this standard or not, the ‘shall’ and ‘should’ criteria provide an excellent quality framework.
Business Relationship Management 19

20. Relationship Processes
Chapter 7:
7.1 General
7.2 Business Relationship Management 20 20

21. Business Relationship Management
7.1: General
Business Relationship Management
Supplier Management
Supplier
Service Provider
(The IT Organization going for ISO certification)
Business
Note: Both the supplier and the customer may be internal OR external to the service Provider’s organization 21 21

22. Business Relationship Management
Objective:
To establish and maintain a good relationship
between the service provider and the customer based on
understanding the customer and their business drivers 22 22

23. Business Relationship Management – Shall’s
Part 1:
Identify and document the stakeholders and customers
Service provider AND customer shall attend a service review ANNUALLY
Changes to contracts and SLA’s shall be subject to Change Management
There shall be a named individual responsible for managing customer satisfaction and the whole business relationship process
Feedback is gathered and customer satisfaction is measured  results are input in to service improvement plan.
There shall be a
complaints process…
There shall be a service review, at least annually… 23 23

24. Business Relationship – Should’s
Part 2:
Service reviews should consider past and current performance and future needs
Agree on interim review procedures
What is a complaint? How do we formally handle complaints?
Complaint analysis is input into service improvement plan
Results of customer satisfaction surveys are discussed with the customer
COMPLIMENTS should be measured and reported 24 24