1. itil in the clouds v2 pink elephant

ITIL Castles In The Cloud

There is a castle on a cloud, I like to go there in my sleep, Aren’t any floors for me to sweep, Not in my floors for me to sweep, Not in my

castle on a cloud.[Young Cosette - Les Miserables]

1

Troy DuMoulin AVP Strategic Solutions

Pink Elephant

THE WINDS OF CHANGE

New Challenges for IT

New ChoicesSAASThe rise of the MSP

New RequirementsFinancial TransparencyValue vs. Cost

ITIL Castles In The Cloud © Pink Elephant, 2011. All Rights Reserved.

Disruptive TechnologySocial MediaGreen ComputingCloud ComputingMobility

The rise of the MSPGlobal SourcingOpen SourceLow Cost Hosting

2

IT Under Pressure To Change

Board/Executives

Need to Cut G&A Overhead


Internal Customer Dissatisfaction, Consumerization

User Community

MassiveTechnologyChanges

3

Consumerization and Cloud ComputingHit the Enterprise


Indicators lead to cloud as future


“2010 CIO Agenda” - Gartner

IT Strategy & Cloud Services

Business Product

Business Service

Business ProcessBusiness Process

Business Process

Produce

Ship

Distribute

Market

ExploreDevelop

RefineBlend

StorePipe


Hardware Consolidation

Application Optimization

Local Virtualization

Cloud Services Integration

6

Service Catalog

IT Service Concepts

“People do not want quarter-inch drills. They want


“People do not want quarter-inch drills. They want quarter-inch holes.”

Professor Emeritus Theodore Levitt, Harvard Business School

“A service is a means of delivering value to customers by facilitating outcomes customers want to achieve without the ownership of specific costs and risks.”

Fulfills one or more needs of the

What Is A Service?

ITIL Castles In The Cloud © Pink Elephant, 2011. All Rights Reserved. 8

Fulfills one or more needs of thebusiness

Supports the customer’s businessobjectives

Perceived by the customer as a coherent whole

“An IT System is a number of related components that work together to facilitate the delivery of a service.”

Systems vs Services


IT System IT Service

Sourcing Services

Business Sourcing

Task & Business Process Sourcing

• Janitorial Services• Linen Services• Plant Maintenance• Refining Services• Fleet Management

• Finance & Accounting

• CRM Services• Call Center• Purchasing• Payroll Services

eSourc

ing


IT Service Sourcing

IT Product Sourcing

Based On Source: eSCM-CL Part 1

• Payroll Services

• Data Center Services• Software As A Service• Telephony• Messaging• Desktop Automation• End User Services• Hosting / Storage

• Laptops• Shrink wrapped

Software• Network Equipment• Servers• Memory

eSourc

ing

External

BusinessUnit A

BusinessUnit B

Business Units

Service Value NetworkService Ecosystem

ServiceUnit 1

ServiceUnit 2

Shared IT Services

3 Service Supplier Types

Service X

Service WDedicated

Service

SharedService


ServiceUnit 3

ExternalBusiness

Unit A

External Supplier

BusinessUnit D

ServiceUnit 4

Embedded IT

BusinessUnit C

Service Z

Service Y

Service

OutsourcedService

Service Catalog

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Cloud As A Service

Service model

Cloud SaaS

Characteristics

On-demand self-service

A model for enabling convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and

services) that can be rapidly provisioned and released with minimal management effort or service provider interaction. This cloud model promotes availability and is composed of five

essential characteristics, three service models, and four deployment models.“

“ITIL Castles In The Cloud © Pink Elephant, 2011. All Rights Reserved.

Cloud SaaS

Cloud PaaS

Cloud IaaS

Broad network access

Resource pooling

Rapid elasticity

Measured service

The NIST Definition of Cloud Computing, Version 15, 10-7-09Authors: Peter Mell and Tim Grance

Cloud Concerns - Perceptions


Cloud Computing & Management


Ref: Chris Hoff http://www.rationalsurvivability.com/blog/?p=743

Call A Spade A Spade

� Launching A Cloud Computing Strategy Means Outsourcing Multiple Slivers of Your IT Service Value Chain

What the IT Community is quickly coming to realize is that to deploy a cloud strategy within their organization successfully


At the end of the day you get nothing for nothing Sitting flat on your butt doesn’t buy any bread

[At The End Of The Day - Les Miserables]

deploy a cloud strategy within their organization successfully a number of processes and IT Service Management elements have to be defined - and better yet - automated from request through verified provisioning and then keep running as long as needed.

Goal Of Supplier Management

The goal: of the Supplier Management process is to manage suppliers and services they supply, to provide seamless quality of IT service to the business, ensuring value for money is obtained.


It is essential that Supplier Management processes and planning are involved in all stages of the Service Lifecycle from strategy and design, through transition

and operations, to improvement.

ExternalSuppliers

ExternalSuppliers

Traditional supply model

InternalBusiness

IT Function

IT Services

External ITSuppliers

Products

Customer OrganizationHardwareSoftwareEnvironment

Warning: Direct Business Relationship Bi-passing IT Supplier Mgmt. is a risk


SuppliersCustomers

IT Services(Service Catalog)

SuppliersServices

SLAs Contracts

Occasional Contact

WAN ServicesTelephonyData Center ServicesSaaS / Cloud Services

IT Supplier Mgmt. Business Process Outsourcing

Operational

SuppliersTacticalSuppliers

StrategicSuppliers

Valu

e a

nd im

port

ance

High

Medium

Supplier Categorization

Strategic:

For significant ‘partnering’relationships that involve senior managers sharing

Tactical:

For relationships involving significant commercial activity and business

Operational:

For suppliers of operational products or services

Commodity:

For suppliers that provide low-value and/or readily available products and

TacticalSuppliers

TacticalSuppliers


CommoditySuppliers

Valu

e a

nd im

port

ance

Risk and impact

Low

OperationalSuppliers

Low Medium High

senior managers sharing confidential strategic information to facilitate long-term plans.

activity and business interactionavailable products and services that could be alternatively sourced relatively easily

© Crown copyright 2007 Reproduced under license from OGC Figure 4.31 Service Design, page 156

Service Lifecycle & Supplier Involvement

SERVICE STRATEGY• Service Strategy• Financial Management• Service Portfolio Management• Demand Management

SERVICE DESIGN• Service Catalog Management• Service Level Management • Capacity Management • Availability Management• IT Service Continuity Management• Information Security Management• Supplier Management


SERVICE OPERATION• Event Management• Incident Management• Request Fulfillment• Problem Management • Access Management

Functions• Service Desk• Technical Management• IT Operations Management• Application Management

SERVICE TRANSITION• Transition Planning and Support• Change Management• Service Asset & Configuration

Management• Release & Deployment Management• Service Validation• Evaluation• Knowledge Management

CONTINUAL SERVICE IMPROVEMENT• Seven Step Improvement

© Crown copyright 2007 Reproduced under license from OGC

Change Management

Incident Management

DML

Request FulfillmentS

ervi

ce D

esk

Ser

vice

Cat

alog

Integrated Process Example

Supplier Management

Service Level Management

Release & Deployment Mgmt.

Financial Mgmt.


Problem Management

Ser

vice

Des

k

Ser

vice

Cat

alog

Event Management

Access Management

Availability & Capacity Mgmt.Information Security Mgmt.

Financial Mgmt.

Service Asset & Config. Mgmt.

IT Service Continuity Mgmt.

Automated Provisioning Requires Process Automation

Scaled & Distributed Process OwnershipProcess Owner: Has overall organizational process accountability and may as well have specific accountability for their own group or region.

Process Manager: Has process accountability for their specific functional group or region and is accountable to the Process Owner for organizational compliance

Sponsor

ITSM Executive

ITSM Governance


Org 3Org 2Org 1External

Process Owner

ProcessManager

Coordinator

ProcessManager

ProcessManager

Procurement & Contracting

Elements of A Service Contract

Basic terms & conditions Service description & scope

Service level requirements Service scope

Service Management involvement Responsibilities & dependencies

Service debit & credit regime Contact points, communication

Contract review & dispute process Prices & payment structure


Contract review & dispute process Prices & payment structure

Agreement change process Confidentiality requirements

Intellectual property rights Liability limitations

Termination rights of each party Obligations at termination & beyond

Security requirements Business continuity requirements

Mandatory technical standards Service Improvement process

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Questions?

Troy DuMoulin

[email protected]


Thank YouPINK ELEPHANTwww.pinkelephant.com

http://blogs.pinkelephant.com/troy

http://twitter.com/TroyDuMoulin

1. itil in the clouds v2 pink elephant

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