itil v3 - service design

ITIL V3 Foundation

© PCS Technology Ltd.

Topic- Lifecycle Phase: Service Design 1

ITIL V3 Lifecycle Phase

Service Design

ITIL V3 Foundation



1. Service Design – Introduction, Objective, Benefits

2. Service Design – Fundamentals & Design Aspects

Processes

1. Service Catalogue Management

2. Service Level Management

3. Capacity Management

4. Availability Management

5. IT Service Continuity Management

6. Information Security Management

7. Supplier Management

Service Design

ITIL V3 Foundation



Service Design - Introduction

Service Design phase

→ Follows the Service Strategy phase in the Service Lifecycle

→ Deals with the design and development of services and related processes

→ The most important objective is the design of new or modified services for introduction into a production environment.

ITIL V3 Foundation



Service Design - Introduction

Service Design phase

→begins with the demand for new or modified services /requirements from the customer

→ends with the design of a service solution that satisfies the requirements before including the service in the transition phase.

Requires

→Good preparation

→An effective and efficient infusion of the 4 Ps of ITIL (People,Processes, Partners and Products i.e. Service, Technology, & tools)

ITIL V3 Foundation



Service Design - Objectives

→ To contribute to the business objectives

→ To contribute to the quality of IT services by

improving the effectiveness and efficiency of IT

services

→ To minimize or prevent risks

→ To contribute to satisfying the current and future

market needs

→ To support the development of policies and

standards regarding IT services

ITIL V3 Foundation



Service Design - Benefits

→ Simpler implementation of new/modified services

→ Improved synchronization of service with business

→ Improved quality of service delivery

→ Improved consistency of the service

→ Lower Total Cost of Ownership (TCO)

→ Improved IT administration

→ More effective IT and ITSM processes

→ More simplified decision making

ITIL V3 Foundation



Service Design –Aspects

SLR SLA

pilot

SLRSLRSLRSLR SLA

LiveSLM

Approved for

build

SDP

Business requirements




Pilot or warranty period

Live operation

Design and development

Project (Project Team)

SAC SAC SAC SAC SAC SAC

Document & agree business

requirements(Strategy & Design)

Design

service solution

(Design)

Develop

service solution

(Design)

Build

service solution (Transition)

Test

service solution (Transition)

Strategy

Design

Transition

Transition & Operation involvement

Change Management:RFC released

Approved for design

Approved for

test

Approved for

development

Approved for warranty

Approved for live release

Review & closure

Build, Test, Release and Deployment Management

Operation

Improvement

SLR : Service Level Requirement

SAC : Service Acceptance Criteria

SDP : Service Design Package

SLA : Service Level Agreement

SLM : Service Level Management

ITIL V3 Foundation



Service Design - Aspects

ServicePortfolio

Using

Business/Organization Architecture

Delivery,

feedback & monitoring

Service Architecture

Supported by

Application ArchitectureInfluenced

by

Information/Data Architecture

Environmental Architecture

IT Infrastructure Architecture

Management

Architecture

Product

Architecture

Service

Knowledge Management

System

ITIL V3 Foundation



Service Design – Design Aspects

Design of Supplier Strategies

→ In-sourcing

→ Outsourcing

→ Co-sourcing

→ Multi-sourcing

→ Business Process Outsourcing (BPO)

→ Application Service Provision

→ Knowledge Process Outsourcing

In-sourcing - Internal capabilities are used for the design, development

maintenance, execution and/or offer of support for the service. The

advantage is direct control, freedom of choice and familiarity with internal

processes. Disadvantage is cost and time for delivering services which are

not core to the business as also competing for internal resources.

Outsourcing - Engaging an external organisation for the design, development maintenance, execution and/or offer of support for the

service. Advantage is focus on core competencies leading to reduction of

costs in the long term. Disadvantage in this is less direct control on the

services and dependence on external supplier who may not be able to

relate with the organisation’s processes. The competence and kills of the

supplier need to be judged correctly.

Co-sourcing - A combination of in and outsourcing in which various outsourcing organisations work co-operatively through the lifecycle of a

service. The advantage is faster time to deliver services and better

control. Disadvantage is complexity of projects and intellectual property

and copyright protection.

Multi-sourcing - Multiple organisations make formal agreements with the focus on strategic partnerships (creating new market opportunities).

Advantage is expanded market opportunities and competitive response

opportunities. Disdvantages are complexity of projects and culture clashes.

ITIL V3 Foundation



Service Design – Design Aspects

(Continued from last slide )

Business Process Outsourcing - An external organisation takes over a business process or part of one at a cheaper location. Advantages are one-

counter functionality and access to specialized skills

Application Service Provisioning - Computer based services are offered to the customer over the network. Advantage is access to complex and

expensive solutions with support and upgrades included. Disadvantages are

access only to faculties, not knowledge and culture clash.

Knowledge Process Outsourcing - Knowledge of an entire work area is offered. Advantages are knowledge and expertise and cost savings.

Disadvantages are loss of internal knowledge and loss of relationship with

the business

ITIL V3 Foundation





Processes








Service Design

ITIL V3 Foundation



Service Catalogue Management

The purpose of Service Catalogue Management (SCM) is the development and upkeep of a Service Catalogue that contains all accurate details, the status, possible interactions and mutual dependencies of all present services and those under development

The Service Catalogue is the central source of all service information. The

Service Catalogue provides the following information to everybody in the

organisation:

- the services provided- how the services are delivered

- how these services have to be used

- what is the purpose of each service

- which quality level may be expected by the client

Service Catalogue is a subset of Service Portfolio and consists of active and

approved services (at retail level) in Service Operation. It contains:

- Policies

- Guidelines

- Responsibilities

- Prices

- Service Level Arrangements

- Delivery conditions

ITIL V3 Foundation




Two aspects of a Service Catalogue are:

1) The Business Service Catalogue

2) The Technical Service Catalogue

The Business Service Catalogue: contains all details of the services that are being supplied to the client and the relations with different

departments and processes, which are depending on the service. The

Business Service Catalogue facilitates the development of proactive and

preventive SLM processes or even the development aimed at Business

Service Management.

The Technical Service Catalogue: contains not only the details of the services supplied to the client, but also their relation to the supporting and

shared services, components and CIs. It explains which technical aspects

and departments are necessary to render the service. This is the part that

is not visible to the clients.

ITIL V3 Foundation




Business

Process 1BusinessProcess 2

BusinessProcess 3

Business Service Catalogue

Service A Service B Service C Service D Service E

Technical Service Catalogue

Support Services

Hardware Software Applications Data

ITIL V3 Foundation




The activities in the process are:

• Ensuring that all operational services and all services being prepared for operational running are recorded within the Service Catalogue

• Ensuring that all the information within the Service catalogue is accurate and up-to-date

• Ensuring that all the information within the Service catalogue is consistent with the information within the Service Portfolio

• Ensuring that the information within the Service catalogue is adequately protected and backed up

The Service Catalogue is the only resource that contains information about

all services of the service provider and so should be accessible to every

authorized person.

ITIL V3 Foundation





Processes








Service Design

ITIL V3 Foundation



Service Level Management

→ The objective of Service Level Management (SLM) process is to ensure that the agreed level of IT service provision is attained both for present and future services

→ SLM defines, documents, agrees, monitors, measures, reports and executes a review of the service level

→ SLM delivers and improves the relation and communication with the business and the clients

→ SLM ensures that specific and measurable targets are being developed

SLM ensures reliable communication with all responsible parties (external

and internal) and maintains the relations with these parties. It agrees on

goals of the service provision of these parties and provides the

management information which is required to attain these goals. If

interference occurs, SLM assures feedback regarding causes and provides

information to SLM regarding preventive actions to be taken.

SLM represent IT service provider at the client and the client internally at

the IT service provider. There is a regular bi-directional contact, whereby

both the present service and future services are discussed.

SLM has to manage the expectations of both parties (internal and

external).

ITIL V3 Foundation



Service Level Management - Concepts

CUSTOMER

IT SERVICE ORGANISATION

SUPPORT

TEAMS

THIRD PARTY SUPPLIERS

SLA

OLA UC

Service Level Agreement (SLA): SLA is an agreement set forth in writing between the Service Provider and a client regarding the mutual goals and

responsibilities

Operations Level Agreement (OLA): an agreement between different departments of the same service provider regarding assistance in case of

(joint) service rendering

Underlying/Underpinning Contract (UC): SLA is an agreement set forth in writing between the Service Provider and a supplier regarding the mutual

goals and responsibilities

ITIL V3 Foundation



Service Level Management - Activities

→ Design of SLA Frameworks

• Service based SLA• Customer based SLA• Multi-level SLA

→ Production of Service Level Requirement (SLR)

→ Monitoring the performance and reporting the same

→ Improving client satisfaction

→ Review of the underlying agreements

→ Reviewing and improving services

� Developing contacts and escalations

Service based SLA – an SLA covers the service for all clients

Customer based SLA – an agreement with a client containing all services he wants to use. This captures all the requirements of a client in a single

document

Multi-level SLA – a combination having the following structure:

•Corporate level – covering all generic SLM matters

•Client level – covering all SLM matters which are relevant to the specific

group of clients or business units

•Service level – covering all subjects that are relevant to a specific service

relating to a specific client

The Multi-Level SLA keeps the SLAs under control and diminishes the need

for frequent updates.

ITIL V3 Foundation





Processes








Service Design

ITIL V3 Foundation



Capacity Management

→ The purpose of Capacity Management is to provide an IT capacity coinciding with both the current and future needs of the customers against justifiable costs

→ Represents the central point of information on IT performance and capacity issues

→ Thorough capacity management is able to predict events and their impacts before they occur

The objectives are:

1) creating and maintaining an up-to-date Capacity Plan

2) internal and external consulting on services in terms of capacity and

performance

3) ensuring that the services provided comply with the defined objectives

by managing the performance and capacity of the services

4) contributing to diagnosis of performance and capacity related problems

and incidents

5) investigating the impact of all changes to the Capacity Plan

6) taking proactive measures to improve performance

ITIL V3 Foundation



Capacity Management

Capacity Management Information System

(CMIS)

Capacity & Performance reports and data

Forecasts

Capacity Plan

Review current capacity & performance

Improve current service and component capacity

Assess, agree and document new requirements and capacity

Plan new capacity

More proactive the Capacity management, the lesser the need for reactive

activities.

The Capacity Management process consists of :

Reactive activities

- Monitoring

- Measuring

Proactive activities

- predicting future requirements

- predicting trends

The purpose of CMIS is to provide relevant information on the capacity and

performances of services and infrastructures in order to support the

capacity management process. All the capacity management sub-processes

analyze the information stored.

ITIL V3 Foundation



Capacity Management

The 3 sub-processes are:

� Business Capacity Management

� Service Capacity Management

� Component Capacity Management

Business capacity management: translates the customer’s requirements to specifications for the service and IT infrastructure. Focuses on current

and future requirements

Service capacity management: main purpose is to identify and understand the IT services so that they comply with the defined targets. Focuses on

managing, controlling and predicting the performance and capacity of

existing operational services

Component capacity management (CCM): Focuses primarily on managing, controlling and predicting the performance, use and capacity of individual

IT components, such as processors, network and bandwidth, etc. The

emphasis is on the IT infrastructure that supports the service

ITIL V3 Foundation



Capacity Management

Supporting activities are:

→ Monitoring IT usage and response times

→ Analyzing data

→ Identifying possible points of improvement

→ Implementing changes

→ Leveraging new technology

→ Improving resilience

→ Setting thresholds

→ Influencing user demand for IT services

→ Managing the impact on IT services

→ Predicting the behavior of IT services by using modeling methods

→ Application sizing, estimating the requirements for resources to support proposed changes

Modeling

Rule of Thumb: This is the cheapest way of determining the best capacity solution and is based on experience and current resource utilization.

Linear Projection: This involves trend analysis based on resource utilization.

Simulation Modeling: This is usually more accurate than analytical modeling since it provides greater capabilities and more closely

emulates the application. Simulation modeling may require significantly more time and cost to prepare scripts and generate realistic transaction

loads.

Baseline Assessment: A “baseline model” accurately reflects the

performance levels and workload characteristics of the current system. This can allow predictive “what-if” scenarios with planned changes to resources under a variety of workloads. A good prediction of performance levels depends on the accuracy of the baseline model.

Actual System: This involves the actual operating environment to predict

the performance requirements.

ITIL V3 Foundation





Processes








Service Design

ITIL V3 Foundation



Availability Management

The purpose of Availability Managementis to ensure that the delivered availability level for all services complies with or exceeds the agreed requirement in a cost-effective manner

The objectives are:1) creating and maintaining an up-to-date availability plan that reflects the

current and future needs of the customer

2) advising on availability related issues

3) guiding the customer and IT service provider

4) ensure that availability results comply with or exceed the defined

requirements

5) providing assistance in making a diagnosis of availability related

incidents and problems

6) investigating how much impact changes have on the availability plan and

the performance and availability of resources

7) taking pro-active measures to improve availability

The main activities are:1) determining the availability requirements of the business

2) determining the Vital Business Functions (VBFs)

3) determining the impact of failing components

4) monitoring and analyzing IT components

5) reviewing the services and components at unacceptable levels

6) creating and maintaining an Availability Plan

ITIL V3 Foundation




Monitors, measures and reports on the following aspects:

→ Availability

→ Reliability

→ Maintainability

→ Serviceability

→ Security

Availability: the service or component’s ability to function as agreed with

the customer

Reliability: the time a service or component can function without

interruption conforming to the agreements. This implies redundancy in

service design. The various types of redundancy:

1) Active Redundancy: used to support essential services. The productive capacity of redundancy is always available. All redundant units are

operating simultaneously (mirrored disks)

2) Passive Redundancy: use of redundant assets are left inoperative until the event of a failure (standby servers)

3) Diverse Redundancy: redundancy through various types of service assets that share the same capabilities (spreading the risk) like use of

different storage media

4) Homogenous Redundancy: using extra capacity for the same type of service assets. There is high certainty about the causes of failure (e.g. use

of two identical processors)

Maintainability: the speed and effectiveness of repair of a service or

component after a failure, how fast it will resume normal operation

Serviceability: the ability of an external supplier to comply with the

contract agreements

ITIL V3 Foundation



Availability Management - Tools

Component Failure Impact Analysis (CFIA) Configuration Item:

PC #1

PC #2

Ethernet segment

WAN link

Router 1

Router 2

Server

System software

Application 1

Application 2

Database 1

Database 2

Service A

B

N

B

N

X

N

X

X

X

N

B

N

Service B

B

B

B

B

X

X

X

X

X

B

B

X

X = Fault means service is unavailableA = Failsafe configurationB = Failsafe, with changeover timeN = No impact

During the ‘design for Availability’ activities it is necessary to predict and

evaluate the impact on IT Service Availability arising from component

failures within the proposed IT Infrastructure and service design.

Component Failure Impact Analysis ( CFIA ) is a relatively simple technique

that can be used to provide this information. IBM devised CFIA in the early

1970s with its origins based on hardware design and configuration.

However, it is recommended that CFIA be used in a much wider context to

reflect the full scope of the IT Infrastructure, i.e. hardware, network,

software, application and Users.

Additionally the technique can also be applied to identify impact and

dependencies on IT support organization skills and competencies amongst

staff supporting the new IT Service.

ITIL V3 Foundation



Availability Management - Measurement

Incident Incident

Time Between System Incidents

DowntimeTime to repair

UptimeTime between failures

Time

Resolution time

Time to detect

Time to record

Recovery

MTTR : Mean Time to Repair (MTRS – Mean Time To Restore Service)

MTBF : Mean Time Between Failures

MTBSI : Mean Time Between System Incidents

Timeto

diagnose

Timeto

repair

Timeto

recover

Expanded Incident Lifecycle - A guiding principle of Availability Management is to recognise that it is still possible to gain customer

satisfaction even when things go wrong. One approach to help achieve this

requires Availability Management to ensure that the duration of any

Incident is minimised to enable normal business operations to resume as

quickly as is possible.

Availability Management should work closely with Incident Management

and Problem Management in the analysis of Unavailability Incidents.

A good technique to help with the technical analysis of Incidents affecting

the Availability of components and IT Services is to take an Incident

‘lifecycle’ view.

Every Incident passes through several major stages. The time elapsed in

these stages may vary considerably. For Availability Management purposes

the standard Incident ‘lifecycle’ as described within Incident Management

has been expanded to provide additional help and guidance particularly in

the area of ‘designing for recovery’.

Each stage, and the associated time taken, influences the total downtime

perceived by the User. By taking this approach it is possible to see where

time is being ‘lost’ for the duration of an Incident, e.g. the service was

unavailable to the business for 60 minutes, yet it only took 5 minutes to

apply a fix, where did the other 55 minutes go?

ITIL V3 Foundation




Measuring perspectives:

→Business perspective: looks at IT availability in terms of its contribution to or impact on the VBF

→User perspective: views the availability of IT services as a combination of 4 factors – frequency, duration and impact and response times

→IT service provider’s perspective: views the availability of services and components from the point of view of availability, reliability and maintainability

ITIL V3 Foundation





Processes








Service Design

ITIL V3 Foundation



IT Service Continuity Management

→ The purpose of IT Service Continuity Management (ITSCM) is to support business continuity by ensuring that the required IT facilities can be resumed within the agreed timeframe

→ ITSCM focus on those events that can be considered a disaster (calamity)

The objectives are:

1) maintaining a set of continuity plans and recovery plans

2) performing regular BIA

3) executing risk estimates and management exercises

4) advising other business units on all continuity and recovery related

issues

5) ensuring that the required continuity and recovery mechanisms are

ready for use

6) investigating the impact of all changes on the continuity and recovery

plans

7) implementing proactive measures to improve the availability of services

8) negotiating agreements with suppliers in relation to the required

recovery capacity

ITIL V3 Foundation




Involves

→maintaining a set of continuity plans and recovery plans

→ performing regular BIA

→ executing risk estimates and management exercises

→ advising other business units on all continuity and recovery related issues

→ ensuring that the required continuity and recovery mechanisms are ready for use

ITIL V3 Foundation




Involves

→investigating the impact of all changes on the continuity and recovery plans

→ implementing proactive measures to improve the availability of services

→ negotiating agreements with suppliers in relation to the required recovery capacity

ITIL V3 Foundation




Initiation

Requirements & strategy

Implementation

Ongoing operation

•Policy setting

•Scope

•Initiate a project

•BIA

•Risk Assessment

•ITSC strategy

• Plans & proc.

•Orgn. planning

•Testing

•Awareness

•Review & audit

•Testing

•Change Mgmt.

BusinessContinuitystrategy

BusinessContinuityPlans

Invocation

BCM LifecycleKey activities

ITIL V3 Foundation





Processes








Service Design

ITIL V3 Foundation



Information Security Management

The purpose of Information Security Managementis to align IT and business security and ensure that information security is managed effectively in all services and service management operation

The objectives are:

1) information is available and usable when necessary (availability)

2) information is available exclusively to authorised persons

(confidentiality)

3) the information is complete, accurate and protected against

unauthorized changes (integrity)

4) transactions and information exchange between companies and partners

are reliable (authenticity

ITIL V3 Foundation



Information Security Management - Concepts

1) A threat exploits a vulnerability

2) Threat causes an incident

3) Incident results in damage

4) Damage is to the assets leading to:

- Financial loss

- Reputation loss

- Image/Brand loss

- Regulatory breaches

- Loss of Goodwill

Measures to mitigate threats or reduce the impact of threats are:

1) Preventive Measures – prevent effects (access management)

1) Reductive Measures – limit effects (backups)

2) Detective Measures – detect effects (monitoring)

3) Repressive Measures – suppress effects (blocking)

4) Corrective Measures – repair effects (rollback)

ITIL V3 Foundation



Threat

Incident

Damage

Control

Preventive / Reduction

Detection / Repression

Corrective / Recovery

Evaluation / Reporting



Security controls for threats and incidents

ITIL V3 Foundation





Processes








Service Design

ITIL V3 Foundation



Supplier Management

→ The goal of Supplier Management is to manage suppliers and the services they supply, aimed at consistent quality at the right price

→ Objectives are:

• getting “your money’s worth”

• adjusting underlying contracts with suppliers to the demands of the business

• manage relations with suppliers and their performance

The objectives are:

1) getting “your money’s worth”

2) adjusting underlying contracts with suppliers to the demands of the business

3) manage relations with suppliers and their performance

ITIL V3 Foundation



Supplier Management

Supplier categorisation& maintenance of the

SCD

Supplier & contractmanagement &

performance

Establish newsuppliers &

contracts

Contract renewal

and/ortermination

Evaluation of new

suppliers & contracts

Supplier strategy& policy

Supplier & ContractDatabaseSCD

Supplier reports

and information

ITIL V3 Foundation



Supplier Management – Contract Lifecycle

Identify requirements

Select suppliers

Categorize

Regulate

Manage

Renew / End

Supplier & Contract Database

The activities are:

1) Provide input to and maintenance of supplier policy

2) Maintain suppliers and contract databases

3) Categorize of suppliers and contracts with risk assessment

4) Evaluate of contracts and suppliers

5) Develop, negotiate and approve contracts

6) Revise, renew and end contracts

ITIL V3 Foundation



itil v3 - service design

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