itsm on the move – eat or be eaten!

Randy Steinberg November 30, 2012

ITSM On The Move – Eat Or Be Eaten!

Greater Los Angeles Local Interest Group

. Greater Los Angeles Local Interest Group © 2012 Migration Technologies 2

• IT and ITIL in 2012

• Making The Case To Senior IT Executives

• The 2012 ITIL Hall Of Shame

• Questions and Wrap-Up

Agenda:


We Don't Have Incidents…

Just Opportunities To Trigger Our Problem

Management Process!

IT and ITIL in 2012


Spending about same but has shifted a bit:

‒ Legacy infrastructures are flat

‒ Growth in new technologies such as Cloud, Mobile Devices, Virtualization

IT Spending Was Basically Flat in 2012

IDC: Worldwide IT Spend Was $1.6T 53% was outside U.S

. Greater Los Angeles Local Interest Group © 2012 Migration Technologies

ITIL Foundation Certificates

5

890,000 Foundation Certificates Worldwide!

Certification rates keep rising despite

slow economy

If the rate continues, there will be over 1M

certified by 2014!


Highest Paying IT Certifications

6

Source: Global Knowledge 2012

ITIL Training Still Growing

at 20%

Salary Average: $90-105K


ITSM Tools Market in 2012

ITSM Tools: Large players still dominate but mid-tier

players coming on strong

IBM Tivoli now less than 4%

of market

- 12.0%

- 49.9%

+90.6% -???%

+???%


Where’s IT Going?

…All This Bodes Well For ITSM!


From The Point Of View Of

A…


From The Point Of View Of

A…

MAC Fan

Win 8 Fan

Windows 8 iOS Android

Android Fan

Useless


Is it an IPhone, Tablet or Desktop?

Is it a PC, Tablet or Desktop?


Wouldn’t Want To Be The Guest

Speaker Who Did

This Topic!


Enforced Password Device Wipe Remote Lock Configuration Verification Jailbreak/Rooted Detection Policy Compliance Application Push/Pull Application Patching Application Verification Apps Store Support Security Management Audit Trail/Logging External Memory Blocking Hardware Management Certificate Monitoring Multiple OS Support

Mobile Device Management An Exciting New World To Tackle!


Bad Guys…

Why Go After The Protected Data Center

When There’s So Many

Devices Out There?

Security – The Defense Strategy Is Shifting


Business Factory In 1850


Industrial Factory In 1870’s

Users

Tech Support

Servers


Auto Assembly Plant 2012


Data Center 1970


It’s Getting Tough To Be In The Server and PC Hardware Business!!

Virtualization PCs


Data Center 2012


PC sales drop 21 percent

Dell -33.6% HP -49.96% Lexmark -26.01% Ingram-Micro -10.34% Toshiba -14.81%

Apple +45.52% EMC +16.20% Lenovo +42.43% Hitachi +10.86% VMware +8.5% IBM +4.16% Microsoft +3.81%

Tablet Shipments to Pass Laptops by 2016

IPhone

Android Kindle

Jelly Bean

Galaxy

VDI

IPad Nexus

PC/Server Focused Companies Getting Eaten…


Cloud Computing


Company ABC Self-Service Portal


Automated Workflow


CIO

What’s A Technology Siloed IT Organization To Do?

IT Organization Of The Future?


The Future Looks Very Bright For IT Service Management!

Accelerating shifts away from engineer-to-order (server-centric) towards services integration (service-centric)

New service delivery channels such as mobility, cloud and social networks

Increased use of suppliers and business units outside of IT

Virtualization of desktops – more devices


Organizational entity accountable for bridging across ITS via delivery of bundled and simplified

service offerings to business units

Process Owners manage delivery processes across

IT functions

Management of IT functions such as data

center, network, development, etc.

Functional support staff have responsibilities to

carry out service delivery activities and support

processes

1

Customers or Business End Users

IT Services

Applications Management

Applications Service Desk

Incident Process

Change Process

Event Process

Etc …

Reported Incidents

External Suppliers

Operations Management

Technical Management

Projects – (Used To Produce or Enhance Services)

1

Business Customers and Users

IT Service Management “Bridge” (Coordinates delivery of services across ITS technology silos)

Email & Messaging

Hosting, etc.

Incident Management

Change Management, etc …

Requests and New Service Needs

Fulfilled Requests and Resolved

Incidents

Service Changes and Releases

External Suppliers

Projects

End Users interact with IT primarily

through incidents and requests

Projects are one-time efforts to enhance or implement new services for IT and it’s customers

• Service Owners • Business Representatives • Process Owners • Service Governance

Service Owners coordinate delivery of

services across IT functions

Service Catalog(s)

Service Portfolio

Making The Case To Senior Executives


If nothing is done, the trend

for incidents could go from an average of

8,837 per month to over

15,000 per month by end

of 2013

Targeted Improvements to draw down the trend

Incident Trend Actual Incidents

Key goal of process is to slow or bring

down the trend




Show How Much Labor Is Spent On Maintenance

versus Growth

Value Add Labor (38.6%)

Overhead Labor (25.3%) Non-Value Labor (35.7%)

Other Labor (0.4%)

Supporting Solutions e.g. Fixing Incidents, Bad Changes, etc.

23.2%

Developing Solutions e.g. Building Applications,

Designing, Testing, Deploying, etc.

26.7%

Administering e.g. Managing Budgets, Time

Reporting, etc.

11.9%

Maintaining Solutions

10.3%

Managing Projects and Staff

3.1%

Researching Solutions

5.9%

Representing Solutions To Departments

6.0%

Monitoring Infrastructure Components

12.5%

Other

0.4%

= Unplanned Labor = Planned Labor


70 65

82

30 35

18

0

10

20

30

40

50

60

70

80

90

Forrester Gartner IT

Maintenance

Growth

Show The Benchmarks and Put It Into Dollars 2012 ITS Spend Ratios*

• Maintenance = run the business activities such as fixing incidents, maintaining hardware software, etc.

• Growth = development

projects to improve or add new IT services

Percent of Spend By

Activity

82% = $80M of our labor budget*

* If we got 20% back through consistent processes and better automation this gives us $16M that can be shifted towards growth!


© 2012 Migration Technologies Inc.

Disasters That Might Have Benefited From ITIL Good Practices

The ITIL 2012 Hall Of Shame


Banks Down – No Cause Disclosed

33

Widespread outage also affects applications for mobile devices Problem occurred “after” a New York-based bank moved some of its operations to backup facilities “Banks have repeatedly been attacked by Iranian hackers over the past year as part of a broad cyber campaign targeting the United States” according to people familiar with the situation

Banks Under Security Attacks – Or Continuity Issues With Hurricane Sandy?


Day after Thanksgiving experiences record gun sales Spike in transactions attributed to Obama statement that “…he is open to reintroducing the assault weapons ban...” Resulting high volumes cause system shutdown FBI officials took call centers offline so systems could catch up with calls already in the queue

No Capacity Management? – No Gun Sales! High volume of background check transaction volumes halts gun sales

. Greater Los Angeles Local Interest Group © 2012 Migration Technologies 35 35

IPhone User: Siri, Why Are You Having Trouble Connecting? SIRI: Uh oh, there’s a problem. Can you try again? IPhone User: Why Are You Having Trouble Connecting? SIRI: I’m sorry, I’m having a bit of trouble with that

IPhone SIRI Refuses To Search Web Unexplained Outage (Smells Like Change Management) Has Siri Very Confused

“Siri is offline? I didn't notice, I stopped talking to her a while ago”.


Outage in a computer that matches buy and sell orders and process transactions. The auction, which collects orders to determine a final price for a security, was unavailable to fund managers and brokers Computer malfunctions throughout the year:

• Knight Capital Group Inc.’s $457 million trading error • Mishandling of Facebook Inc.’s initial public offering • Bats Global Markets Inc.’s withdrawn IPO

NYSE Glitches Screw Up 216 Stocks In the process of shifting companies to a new Trading Platform and database

Bottom Line: Traders Took Their Business Over To NASDAQ

Traders Upset!

. Greater Los Angeles Local Interest Group © 2012 Migration Technologies 37 37

Company tweeted that the email issues had been resolved. No word given at the time about why the downtime had occurred or what Microsoft was doing to prevent it from happening again Later cited a confusing array of issues:

• “antivirus issue” • “Combination of load issues” • “network element” • “maintenance”

Office 365 Takes Down North America Second time users of Microsoft Office 365 have been experiencing email problems


March 2012 Flight delays, faulty kiosks, jammed phone lines August 2012 Website and airport functions, flight delays and cancellations November 2012 Delayed flights, inconvenienced passengers, loss of communication to planes prior to departure

Not A Great Year For 1 Airline Post Merger - Can’t Quite Get Those Reservation Systems Going

Bottom Line – Lost customers, airport fines, stock drops 2.4%


Questions?

39

Randy Steinberg Migration Technologies [email protected]

itsm on the move – eat or be eaten!

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