1. The New Operational Architecture Steve Ingall 15 th March 2005

2. New Operational Architecture2 Agenda About Fox IT What is the Operational Architecture? What will IT Service Management look like going forward? What does this mean? Q&A

3. New Operational Architecture3 About Fox IT We are a focused IT Service Management business We aim to become the global authority in IT Service Management We are investing in new IP and methods We are investing in our global presence Joint Venture of Fox IT in Philadelphia and Seattle Partnership in Japan Partnership in India Partnership in Sweden Agency in The Gulf Agency in South Africa We are investing in our own people Training Methods Major Recruitment Drive

4. New Operational Architecture4 About Fox IT IT Service Management best practice process engineering, education and implementation services covering: ITIL BS15000 ISO17799 CObIT SFIA MOF / MSF Utilising techniques and methods like: Six Sigma Lean Balanced Scorecard CMMI EFQM / Baldridge

5. New Operational Architecture5 What do you know about operations? What is the average percentage of IT budget to company turnover? What is the average percentage of that IT budget spent on support and maintenance? What is the average annual contribution to revenue attributable to IT usage in an business? What is the Server:FTE ratio for an effectively managed Wintel server platform?

6. New Operational Architecture6 Keep an open mind! HERE is Pooh Bear, coming downstairs now, bump, bump, bump, on the back of his head, behind Christopher Robin. It is, as far as he knows, the only way of coming downstairs, but sometimes he feels that there really is another way, if only he could stop bumping for a moment and think of it. AA Milne

7. New Operational Architecture7 Definitions – Operational Architecture Architecture A design which shows how all the necessary components will fit together Framework A set of assumptions, concepts and practices that constitute a structure for supporting something else Standard A practice or product that is employed, especially because of its excellence and appropriateness Policy A statement intended to determine or regulate decisions and actions

8. New Operational Architecture8 Operation A series of actions that perform a change of state in an entity Operating Model A schematic description of a system that accounts for it’s properties which is used to study or measure it’s characteristics and outcomes Process A series of actions or functions bringing about a desired result IT Governance The ongoing process within which IT is operated, managed and delivered within a business Definitions – Operational Architecture

9. New Operational Architecture9 Quotes – Operational Architecture “An engineering design which demonstrates how the IT organisation is able to provide secure, reliable, cost-effective, high availability IT services with the agility to respond to the key business drivers that deliver sustained business performance” Steve Ingall, Fox IT “Investors are prepared to pay 20% more on the shares of organisations that have shown good operational governance practices” McKinsey

10. New Operational Architecture10 Operational Architecture Components Information Data Knowledge Expertise Education / Training Suppliers / Partners Automation PEOPLE PROCESSES TECHNOLOGY

11. New Operational Architecture11 Benefits of Operational Architecture Understand the complexity of processes, covering: Describe the processes, the information requirements, the information flows and applications that provide these Means to identify gaps and overlaps in current operation and identify priorities for service improvement Means to identify how and where technology and automation might benefit business and operational needs Coherent business and IT operations Business Strategy : IS Strategy : IT Strategy

12. New Operational Architecture12 Example?

13. New Operational Architecture13 Why is this important? Satisfaction End Customer Business Customer IT Customer IT Staff Suppliers / Partners Financial Cost Return on Investment Budget Efficiency Effectiveness

14. New Operational Architecture14 The C’ Level A.Secure B.Measurable C.Reliable D.Enjoyable E.Affordable F.Supportable G.Legal H.Adaptable 1.Reliable 2.Affordable 3.Secure 4.Legal 5.Measurable 6.Supportable 7.Adaptable 8.Enjoyable

15. New Operational Architecture15 Business Operational Excellence Business Needs Exploit workflow solutions (e.g. ERP, CRM, SAP) Do proper Configuration Management Implement continuous service improvement Improve the “Speed to Market” Manage the whole “Supply Chain” Hand off what you don’t know Let customers help themselves Business Week - InfoTech Annual Report

16. New Operational Architecture16 IT Infrastructure Library THEBUSINESSTHEBUSINESS TECHNOLOGYTECHNOLOGY Planning to Implement IT Service Management Application Management ICT Infrastructure Management Security Management Service Delivery Service Support The Business Perspective Service Management UK Office for Government Commerce, 1998

17. New Operational Architecture17 IT Infrastructure Library Security Management Application Management ICT Infrastructure Management Service Support Service Delivery Planning to Implement Service Management The Business Perspective Software Asset Management

18. New Operational Architecture18 ITIL ® v3 8 th Nov 2004 - UK Office of Government Commerce & itSMFI announce that the best practice guidance in IT Service Management is to be updated to better meet business needs Cooperative venture between private and public organisations Protect commercial impartiality (Crown Copyright) Close working with BSI and ISO to ensure alignment with ISO20000 (29 th April)

19. New Operational Architecture19 ITIL ® v3 Consultation exercise started January 2005 http://www.aspect360.net/itil_survey http://www.ogc.gov.uk/index.asp?id=1000365 Development? V1 – Government V2 – Vendor V3 – Practitioner? Scoping? What’s in? What’s out? What’s new? What’s changed? Knock-on Implications? Standards Tools Education Other publications Other frameworks

20. New Operational Architecture20 Live Video Link to itSMF Office

21. New Operational Architecture21 What does this mean to you? ITIL is the framework for operational architecture “Adopt, Adapt, Improve” Assess the current operation against BS15000 to identify the Road Map for improvement Use a Balanced Scorecard approach to report performance (possibly using CObIT controls) Use combined Lean and Six Sigma to define a continuous process improvement program Use Excellence Model for quick / repeatable self- assessment of “business-led” Set up education and dedicated team

22. New Operational Architecture22 IT will become more essential to the Business IT will need to be more intrinsic to the Business IT will become more standardised IT management will become more complex IT service will involve more outsource / managed service IT will need to be more professionally managed IT managers will need to become leaders IT will need more professional operations IT operations will need to be service focused IT service will need better measurement and reporting What does this mean going forward? IT needs an operational architecture!! ITIL needs an operational architecture!!

23. Q & A steve.ingall@foxit.net http://www.foxit.net steve.ingall@foxit.net http://www.foxit.net