IT Service Catalog: Opening New Customer Channels While Driving Service Improvements

Presented by:

Neil Weitz

ITSM Forum

Today’s Agenda

What is a Service Catalog

What it looks like and why

How it works

How we use it to drive service improvement

Questions

What is a Service Catalog?

A simple way for our customers to find, understand and engage with IT services.

A tool for Service Owners to improve and optimize Services

A framework to build repeatability and predictability into service delivery

In the most simple form: – A paper or spreadsheet inventorying IT Services, listing Service

Levels and Service Owners

In the most sophisticated form:– An online brochure or menu of IT Services with an automated

(actionable) request to fulfillment workflow application, linked to a service analytics dashboard

Drivers of IT Service Catalog @ GSK Improve service to customers– Customers will be able to find, understand & engage Services faster– Increased communications – fulfilment expectations in terms of SLA

are clearly communicated and managed

Manage with greater accountability for results – Total transparency of performance

Reduce costs and gain a higher return on IT investment – Drive process consolidation and service automation.– Utilize Offshore factory models– Improve Service Management by providing the tools and support ITIL

framework

Strategic Management of Human Capital– Better understanding and tracking of service demand. – Less effort expended on repetitive and administrative task

To plan and manage IT operations strategically – Drive ALC management approach for Services.– Provide consistent data on volume and cycle time, to measure

objectively and monitor in real time

End User Bus Mgmt IT Exec Service Owners

IT Service Catalog• Portfolio of Services that

matches demand for IT• Standardized service

definition, service levels, & costs

• Automated & predictable delivery

• Repeatable delivery processes

• Processes aligned to ALC• Focus on optimizing

resources, minimizing costs• Demand-driven Capacity• Transparency in Costs and

Service Level performance

Service Catalog Model

WorkplaceContent Services Applications Project

RetireRetireOptimis

e

OptimiseOperate

OperateDeploy

DeployTest

TestBuild

BuildDesign

DesignRequirement

Requirement

IT Process Lifecycle

Infrastructure

Business Needs

IT Capability

What it looks like @ GSK

Two Distinct Channels

The Brochure

The Menu

The Brochure a.k.a. IT Services Community

The IT Services Community acts like a glossy brochure, helping customers better understand a service’s offering.

Each IT service can have it’s own community which pulls information from the Central Service Request Catalog, and the IT Services Dashboard.

Service Owners maintain those linkages using an administration screen.

From Top Five Challenges For Enterprise IT Infrastructure Managers – And How To Resolve Them, March 2005Navigation…

Three ways to navigate to a service – 1. By Skills & Resources lists services by the skills within that service. The

customer can choose to view information on the number of resources available for that skill, or read a vendor’s case study.

2. By Application Lifecycle lists services by each phase in the Application Lifecyle.

3. A-Z List of Services

From Top Five Challenges For Enterprise IT Infrastructure Managers – And How To Resolve Them, March 2005Service Detail

Customers are presented with :

1. Service owner’s name (from the Central IT Services Dashboard)

2. A brief plain English description of the service (from the IT Services Dashboard)

3. A list of service requests (from the IT Service Request Catalog)

4. Current SLA and Performance Data

The Menu a.k.a. GSK Service Catalog

The GSK Service Catalog acts as a menu offering various services directly to end users in a self service mode

Views are presented to the end user based on a combination of business unit, location and role.

Only those services applicable are displayed. Where available, Service Request forms are presented in users preferred language.

Placing and Processing Requests

GSK Service Catalog Application is used to place and process service requests.

Over 400K requests are processed per year

How It Works @ GSK

GSK Service Catalog: Processing Requests

GSK Service Catalog Application at a Glance

Intake

via online forms

Approvals collected

online

WorkflowSteps

-Route to service

performers

Collect Feedback

on completion

Keep clients informed of status - Proactively via email notifications- On demand; Clients check status online

Monitor Requests / Service monitoring tools & Metrics - Work-in-Progress - Cycle time - Customer satisfaction, plus more

Workflow:(Service Catalog)

Monitoring:(Service Catalog Dashboard)

Com-munication:

GSK Service Catalog Dashboard

Control Charts

Cycle time, volume, performance vs SLA, etc

Work in-Progress

Analysis of delays

Customer satisfaction, plus more …

Dashboard provides REAL TIME performance monitoring. Minimizes effort for gathering baseline data for Six Sigma process improvement efforts

What we mean by Service Improvement -- What we DID !

Ran an improvement program that resulted in 79% reduction in request to fulfillment time from 326 days to 68 days for top 9 IT service requests.

Across all IT Services, Improved Request to Fulfillment by 43% from 90% completed within 12.6 days to 90% completed within 9 days…. – Benefit: 370K days cycle time saved

Greater than 86% of all IT requests are fulfilled in 5 days or less

77% of end-user requests fulfilled in less than 1 day

How we drive Service Improvement

Keys for Driving Improvement

The Right Catalog Content

Visibility & Accountability

Improvement Strategies

Catalog Content

Service Offerings

Single process per offering– Don’t combine items with different processes

– Don’t combine items with different cycle time ranges

– Offer a “suite” of service requests, rather than a complex combined service

– Define from client point-of-view

Distill the standard services– Make easy-to-engage

– Separate the ‘custom’ processes

Complex suite of offerings: Use ‘wizards’ to help clients arrive at the right service

Visibility is Key for Improving Service Management

Visibility of Performance

Visible services portfolio and service performance are now a way-of-working for IT service requests

Make Service owners aware that Service Request performance is highly visible now that services are in the GSK Service Catalog

– Now visible now more chance for accountability

– All services measured on common measures and scales

– Top (and bottom) performers reviewed monthly at Upper Management Team

– All services required to collect customer feedback (same rating scale and questions)

Accountability: Key Measures

Key areas for scrutiny by IT Management

1. Cycle time from request to fulfillment

2. Performance versus SLA

3. Appropriate SLA’s (either high or low is suspect)

4. Customer satisfaction

Additional performance visibility

Top Performers (vs SLA)

Bottom Performers (vs SLA)

• Calculated on past 60 days of data.

• Recalculated nightly• Must have 12 data points

Reviewed Monthly by Management Team

Request to Fulfillment: Goal and Strategy

Goal:

Improve request to fulfillment for service requests

– Improve cycle time so 90% are delivered in 5 days or less

Strategies to achieve:Improve cycle time for fulfillment by improving service management.

Setup common framework for measuring – GSK Service Catalog Dashboard

Give service owners and their management understanding of how to use the tools for monitoring service performance

Hold owners accountable – (now happening at all levels)

Drive process improvements – Zero-touch fulfillment, simplification

Driving Overall Service Performance

Use data-driven improvement initiatives to drive down cycle time for Request to Fulfillment

Request IT - Completed Requests Aug 2006

12057

828408 208 138 478

10606

2501

54088 41 341

85.41%

91.27%

94.16%95.64%

96.61%

100.00%

0

2000

4000

6000

8000

10000

12000

14000

0-5 days 6-10 days 11-15 days 16-20 days 21-25 days 26+ days

business days

qty

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ts

75%

80%

85%

90%

95%

100%

Completed

SLA

SLA %

1764 HW requests removed - not tracked end to end

Request IT - 90% Request to Fulfillment Time

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Month

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Red Amber - 100 Green - 115

Green - 130 Data Values (X) Xbar

UCLx

Progress toward 90% of all requests completed in 5 days or less

Improvement Strategies (Tactics?)

Zero Touch

Process improvement

– Approvals

– Flow

Drive toward “Standard” services vs “Custom” service offerings

Zero Touch

The ‘Holy Grail’ of processes

Client fills online form

Fully automated fulfillment

– No approval

– No persons involved in fulfillment

Instant results

Examples: • Account/access to applications/systems (db insert via web service) • Admin changes: Change name on phone system (XML transaction)

Process Improvements

Remove Approvals: Approvals stop the process and introduce unpredictable variation

– If few denials, convert to an ‘FYI’ notice instead

Give instruction on how to intervene & cancel for those rare cases where needed

– Pre-approve as many standard options as possible

Remove rework

– Collect all info up front

– Straight-through flow, No loop-back

Standard Services vs Custom

Dramatic improvement is possible

Examples:

– PC orders in 3 days versus 30 days

– Servers in 5 days versus 106 days

– Identify solution in 1 min versus 30 days

What is the Secret?

Cheat – It is the only way ! – Already have the item in-stock, configured, and ready to deliver

Overcome the need for ‘perfect’ solution

– Analyze what most customers end up with

– Define solutions to satisfy 80% of the need

Drive customers to these ‘standard’ solutions

– Make simple to engage

– Pre-approved – No need to review/approve each. All meet standards.

– Rapid delivery

If still need custom service, go to a separate ‘custom’ item

– Longer cycle time, approvals, consultations

Distill Standard Services

Custom Service Standard Service

Custom built solution – fully meets all customer’s needs

Pre-built solutions – meet >80% of customers’ needs

Lots of options Limited standard set of options

Lots of questions Few questions- drive users to pre-built solutions

Cycle time =“depends…” – Depends on options needed– Depends on how long to sort out

requirements– Depends on supplier cycle time– Depends on resources needed

Cycle time is longer

Cycle time is predictable & short

Approval flow often required and rules may vary, depending on …

Pre-Approved – Standard Solutions approved by all stakeholders in advance

Summary of benefits derived from the Service Catalog

Simplified access to key IT Services

Identified Portfolio of IT Services

Consolidated or eliminated duplicate or unneeded services

Standardized metrics by across services, allowed apples to apples analysis of performance – reduced tampering

Enabled Service owners to take action to improve Service performance

Improved customer communications, better setting and management of expectations

Turned up the volume to the Voice of the Customer. Developed a standard process for collecting and measuring feedback

Over $200k hard benefit in service consolidation and system elimination Over 75% improvement in cycle time for IT Services

Questions

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