CSM Lecture 2: Dimensions of Service Management

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CSM Lecture 2 Dimensions of service

management
Organisations and people

4 dimensions Information and technology

of service
management Partners and suppliers

Value streams and processes


Key points on the 4 dimensions
• Brings a holistic approach to service management
• The four dimensions are constrained and influenced by several
external factors
• Failing to address all 4 dimensions properly may result in services
becoming undeliverable or not meeting expectations of quality or
efficiency.
• Examples wrong processes may result in wasteful effort or duplication of
efforts, ignoring partners and suppliers may result in poor outsourced
services.
4 dimensions of service management as per
ITIL v4
Dimension 1: Organisation and People
• The effectiveness of an organisation cannot be assured by a formally
established structure or system of authority alone.

• The organisation also needs a


• culture that supports its objectives
• the right level of capacity and competency among its workforce
Organisation Culture
• Organisation culture encompasses values and behaviors that contribute to
the unique social and psychological environment of a business
(businessdictionary.com).

• Leaders play a vital role in advocating values and behaviours requried in an


organisation.

• For example, it is useful to promote a culture of trust and transparency in


an organisation that encourages its members to raise and escalate issues
and facilitates corrective actions before any issues have an impact on
customers.
Workforce
• Capacity
• What are different roles required?
• How many people is required? Does the
number required vary with time?
• How are the people are to be organised?

• Competency
• What skills and competencies are needed?
• In which areas?
Organisation and People in relation to
Computer Services
• Computer Services Department has a service relationship with most
of the department in an organisation
• HR
• Procurement
• Facilities
• Marketing
• Supply Chain
• Etc..
Dimension 2: Information and technology
• Applies both to service management and to the
services being managed

• Includes the information and knowledge necessary


for the management of services as well as the
technology required

• cover all levels of IT architecture, including


applications, databases, communication systems, and
their integrations.
Key output: Information component

What information is managed by the services?

What supporting information and knowledge are needed to deliver


and manage the services?

How will the information and knowledge assets be protected,


managed, archived, and disposed of?
Challenges of information management

Availability Reliability Accessibility Timeliness

Regulatory
Accuracy Relevance Security compliance (e.g.
GDPR and HIPA)
New developments in Information technology
• Artificial intelligence, machine learning and other cognitive
computing solutions are used at all levels, from strategic planning and
portfolio optimisations to system monitoring and user support.
• Mobile platforms, cloud solutions, remote collaboration tools,
automated testing, and deployment solutions has become common
practice.

• These development posed new challenges to service management


Common questions when considering a
technology
• Is this technology compatible with the current architecture of the organization
and its customers? Do the different technology products used by the
organization and its stakeholders work together? How are emerging
technologies (such as machine learning, artificial intelligence, and Internet of
Things) likely to disrupt the service or the organization?
• Does this technology raise any regulatory or other compliance issues with the
organization’s policies and information security controls, or those of its
customers?
• Is this a technology that will continue to be viable in the foreseeable future? Is
the organization willing to accept the risk of using aging technology, or of
embracing emerging or unproven technology?
• Does this technology align with the strategy of the service provider, or its
service consumers?
• Does the organization have the right skills across its staff and suppliers to
support and maintain the technology?
• Does this technology have sufficient automation capabilities to ensure it can
be efficiently developed, deployed, and operated?
• Does this technology offer additional capabilities that might be leveraged for
other products or services?
• Does this technology introduce new risks or constraints to the organization
(for example, locking it into a specific vendor)?
The impact of organisation culture on the
choice of technology
• The culture of an organisation may have a significant impact on the
technologies it chooses to use.
• Some organisations may have more of an interest in be at the cutting
edge of technological advances than others (for example Internet
service providers, telecom companies)
• Some organisations may be more traditional
• Can you name such organisations?

• One company may be keen to take advantage of artificial intelligence


while another may be very far from adopting advanced analytical
tools.
Dimension 3: Partners and suppliers
• Encompasses an organisation’s relationship with
other organisations that are involved in the
design, development, deployment, delivery,
support and continual improvement of services.

• Relationships between organisations may


involve various levels of integration and
formality. This ranges from formal contracts
with clear separations of responsibilities, to
flexible partnerships where parties share
common goals and risks and collaborate to
achieve desired outcomes.
Relationships between Organisations
Factors influencing an organisation’s strategy
when using suppliers
• Strategic focus
• Corporate Culture
• Resource Scarcity
• Cost concerns
• Subject matter expertise
• External constraints
• Demand patterns
Recent development in service partnership
• The last decade has seen an explosion in companies that offer technical
resources (infrastructure) or capabilities (platforms, software) ‘as a service’

• Goods and services are bundled in a single product offering and can be
consumed as a utility

• The consumption of this service is typically accounted as OPEX (operational


expenditures) as opposed to CAPEX (capital expenditure). The company
does not need to invest in costly infrastructure and software assets.
Value streams and processes
• A Value Stream is a series of steps an organisation undertakes to
create and deliver products and services to consumers
• A Process is a set of interrelated or interacting activities that
transform inputs into outputs. A process takes one or more defined
inputs and turns them into defined outputs. Processes define the
sequence of actions and their dependencies.
Value Stream
• Identifying and understanding the various value streams an organization
has is critical to improving its overall performance. Structuring the
organization’s activities in the form of value streams allows it to have a
clear picture of what it delivers and how, and to make continual
improvements to its services.
• Organizations should examine how they perform work and map all the
value streams they can identify. This will enable them to analyse their
current state and identify any barriers to workflow and non-value-adding
activities, i.e. waste. Wasteful activities should be eliminated to increase
productivity.
• Value streams should be defined by organizations for each of their products
and services.
Process
• When applied to products and services, this dimension helps to
answer the following questions, critical to service design, delivery,
and improvement:
• What is the generic delivery model for the service, and how does the service
work?
• What are the value streams involved in delivering the agreed outputs of the
service?
• Who, or what, performs the required service actions?
Process
Example

Source: https://www.pinterest.com/pin/446560119272464783/
External Factors
• Political, economic, social, technological, legal and environmental factors contrain
or influence how service is provided.
• Collectively these factors influence how organisations configure their resources
and address the four dimensions of service management.

• For example:
• Government and societal attitudes towards environmentally friendly products and services may result
in the organization investing more in tools and technologies that meet external expectations.
• Economic and societal factors may influence organizations to create several versions of the same
product to address various consumer groups that show different buying patterns.
• Data protection laws or regulations (like GDPR) have changed how companies must collect, process,
access, and store customer data, as well as how they work with external partners and suppliers.

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