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ITIL®: The Basics
Valerie Arraj, Managing Director,
Compliance Process Partners, LLC




                                                       White Paper
                                                       May 2010



                         © Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010
           This document must not be reproduced without express permission from The APM Group
Contents



1	      What is ITIL and what are its origins?	                                      3
2	      Why would an organization be interested in ITIL?	                            4
3	      What are the benefits of ITIL?	                                              4
4	      Which companies use ITIL?	                                                   4
5	      Further information	                                                         4
6	      Trademarks and statements 	                                                  4




© Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010
This document must not be reproduced without express permission from The APM Group
ITIL®: The Basics   3




1	 What is ITIL and what
   are its origins?
It is hard to believe that the IT Infrastructure Library or ITIL® is
20 years old. On its third version now, ITIL is the most widely
adopted framework for IT Service Management in the world.
It is a practical, no-nonsense approach to the identification,
planning, delivery and support of IT services to the business.
In the early 80’s, the evolution of computing technology
moved from mainframe-centric infrastructure and centralized
IT organizations to distributed computing and geographically
dispersed resources. While the ability to distribute technology
afforded organizations more flexibility, the side effect was
inconsistent application of processes for technology delivery and
support. The UKs Office of Government Commerce recognized
that utilizing consistent practices for all aspects of a service
lifecycle could assist in driving organizational effectiveness and        Figure 1 – The End-To-End Service
efficiency as well as predictable service levels and thus, ITIL was
born. ITIL guidance has since been a successful mechanism to
                                                                          ITIL is typically used in conjunction with one or more other
drive consistency, efficiency and excellence into the business of
                                                                          good practices to manage information technology such as:
managing IT services.
Since ITIL is an approach to IT “service” management”, the
                                                                          •	 COBIT (a framework for IT Governance and Controls)
concept of a service must be discussed. A service is something            •	 Six Sigma ( a quality methodology)
that provides value to customers. Services that customers can             •	 TOGAF (a framework for IT architecture)
directly utilize or consume are known as “business” services. An          •	 ISO 27000 (a standard for IT security)
example of a business service that has common applicability
across industries would be Payroll. Payroll is an IT service that is      The Service Lifecycle
used to consolidate information, calculate compensation and               ITIL is organized around a Service Lifecycle: which includes:
generate paychecks on a regular periodic basis. Payroll may rely          Service Strategy, Service Design, Service Transition, Service
on other “business” services such as “Time Tracking” or “Benefits         Operation and Continual Service Improvement.
Administration” for information necessary to calculate the correct
compensation for an employee during a given time period.                  The lifecycle starts with Service Strategy – understanding who
                                                                          the IT customers are, the service offerings that are required to
In order for Payroll to run, it is supported by a number of               meet the customers’ needs, the IT capabilities and resource that
technology or “infrastructure” services. An infrastructure                are required to develop these offerings and the requirements
service does its work in the background, such that the business           for executing successfully. Driven through strategy and
does not directly interact with it, but technology services are           throughout the course of delivery and support of the service, IT
necessary as part of the overall value chain of the business              must always try to assure that cost of delivery is consistent with
service. “Server Administration”, “Database Administration”,              the value delivered to the customer.
“Storage Administration” are all examples of technology
services required for the successful delivery of the Payroll              Service Design assures that new and changes services are designed
business service. See Figure 1.                                           effectively to meet customer expectations. The technology and
                                                                          architecture required to meet customer needs cost effectively is
IT has traditionally been focused on the “infrastructure” services        an integral part of Service Design. Additionally, processes
and managing the technology silos. IT Service Management                  required to manage services are also part of the design phase.
guidance in ITIL suggests a more holistic approach to managing            Service management systems and tools that are necessary to
services from end-to-end. Managing the entire business service            adequately monitor and support new or modified services must
along with its underlying components cohesively assures that              be considered as well as mechanisms for measuring service
we are considering every aspect of a service (and not just the            levels, technology and process efficiency and effectiveness.
individual technology silos) – to assure that we are delivering
the required functionality (or utility – accurate paychecks for all       Through the Service Transition phase of the lifecycle the design
employees) and service levels (or warranty – delivered within a           is built, tested and moved into production to assure that the
certain timeframe, properly secured, available when necessary)            business customer can achieve the desired value. This phase
to the business customer.                                                 addresses managing changes, controlling the assets and
                                                                          configuration items (underlying components – hardware,
                                                                          software, etc) associated with new and changed systems,

                                                                          © Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010
                                                            This document must not be reproduced without express permission from The APM Group
4  ITIL®: The Basics




service validation and testing and transition planning to assure                     significantly increase the efficiency of processes. In
that users, support personnel and the production environment                         conjunction with the evaluation of efficiency metrics that
has been prepared for the release to production.                                     indicate the time required to perform each activity, service
                                                                                     delivery tasks can be optimized.
Once transitioned, Service Operation then delivers the service on
an ongoing basis, overseeing the daily overall health of the service.         •	 Measurable, improvable services and processes. The adage
This includes managing disruptions to service through rapid                          that you can’t manage what you cannot measure rings true
restoration of incidents, determining the root cause of problems                     here. Consistent, repeatable processes can be measured and
and detecting trends associated with recurring issues, handling                      therefore can be better tuned for accurate delivery and
daily routine end user requests and managing service access.                         overall effectiveness. For example, presume that a critical
                                                                                     success factor for incident management is to reduce the time
Enveloping the Service Lifecycle is Continual Service Improvement                    to restore service. When predictable, consistent processes are
(CSI). CSI offers a mechanism for IT to measure and improve the                      used key performance indicators such as Mean Time To
service levels, the technology and the efficiency and effectiveness                  Restore Service can be captured to determine whether this
or processes used in the overall management of services.                             KPI is trending in a positive or negative direction so that the
                                                                                     appropriate adjustments can be made. Additionally, under
                                                                                     ITIL guidelines, services are designed to be measurable. With
2	 Why would an organization                                                         the proper metrics and monitoring in place, IT organizations
   be interested in ITIL?                                                            can monitor SLAs and make improvements as necessary.

Although today’s technologies allow us to be able to provide
                                                                              •	 A common language – terms are defined.
robust capabilities and afford significant flexibility, they are very
complex. The global reach available to companies via the
internet provides tremendous business opportunity while                       4	 Which companies use ITIL?
presenting additional challenges regarding the confidentiality,               Literally thousands of companies world-wide and of all
integrity and availability or our services and our data. Additionally,        industries and sizes have adopted ITIL. These include:
IT organizations need to continue to be able to meet or exceed
service expectations while working as efficiently as possible.                •	 Large technology companies such as Microsoft, HP, Fujitsu, IBM;
Consistent repeatable processes are the key to efficiency,                    •	 Retailers such as Target, Walmart and Staples
effectiveness and the ability to improve services. These consistent,          •	 Financial services organizations such as Citi, Bank of America,
repeatable processes are outlined in the ITIL framework.                             Barclay’s Bank;
                                                                              •	 Entertainment entities such as Sony, Disney
3	 What are the benefits of ITIL?                                             •	 Manufacturers such as Boeing, Toyota, Bombardier
                                                                              •	 Life Sciences companies such as Eli Lilly, Pfizer, Takeda
What are the benefits of ITIL?                                                       Pharmaceuticals.
The main benefits of ITIL include:

•	 Alignment with business needs. ITIL becomes an asset to the
   business when IT can proactively recommend solutions as a
                                                                              5	 Further Information
   response to one or more business needs. The IT Strategy                    The following websites include authoritative information as well
   Group recommended in Service Strategy and the                              as pointers to other informative sources:
   implementation of Service Portfolio Management gives IT the                www.best-management-practice.com
   opportunity to understand the business’ current and future
   needs and develop service offerings that can address them.                 www.apmg-international.com

•	 Negotiated achievable service levels. Business and IT become
   true partners when they can agree upon realistic service
   levels that deliver the necessary value at an acceptable cost.
•	 Predictable, consistent processes. Customer expectations can be
   set and are easier to meet with through the use of predictable
   processes that are consistently used. As well, good practice
   processes are foundational and can assist in laying the
   groundwork to meet regulatory compliance requirements.
•	 Efficiency in service delivery. Well-defined processes with
   clearly documented accountability for each activity as
   recommended through the use of a RACI matrix can



© Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010
This document must not be reproduced without express permission from The APM Group
ITIL®: The Basics   5




Acknowledgments
Sourced by APM Group Limited and published by TSO on
www.best-management-practice.com
Our White Paper series should not be taken as constituting
advice of any sort and no liability is accepted for any loss
resulting from use of or reliance on its content. While every
effort is made to ensure the accuracy and reliability of the
information, APM Group Limited and TSO cannot accept
responsibility for errors, omissions or inaccuracies. Content,
diagrams, logos and jackets are correct at time of going to press
but may be subject to change without notice.
© Copyright TSO, APM Group Limited and Valerie Arraj,
Compliance Process Partners LLC in full or part is prohibited
without prior consent from the Author.



Trademarks and Statements
ITIL® is a Registered Trade Mark of the Office of Government Commerce in the
United Kingdom and other countries

The Swirl logo™ is a Trade Mark of the Office of Government Commerce

IT Infrastructure Library® is a Registered Trade Mark of the Office of Government
Commerce in the United Kingdom and other countries




                                                                                   © Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010
                                                                     This document must not be reproduced without express permission from The APM Group

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ITIL basics

  • 1. ITIL®: The Basics Valerie Arraj, Managing Director, Compliance Process Partners, LLC White Paper May 2010 © Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010 This document must not be reproduced without express permission from The APM Group
  • 2. Contents 1 What is ITIL and what are its origins? 3 2 Why would an organization be interested in ITIL? 4 3 What are the benefits of ITIL? 4 4 Which companies use ITIL? 4 5 Further information 4 6 Trademarks and statements 4 © Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010 This document must not be reproduced without express permission from The APM Group
  • 3. ITIL®: The Basics   3 1 What is ITIL and what are its origins? It is hard to believe that the IT Infrastructure Library or ITIL® is 20 years old. On its third version now, ITIL is the most widely adopted framework for IT Service Management in the world. It is a practical, no-nonsense approach to the identification, planning, delivery and support of IT services to the business. In the early 80’s, the evolution of computing technology moved from mainframe-centric infrastructure and centralized IT organizations to distributed computing and geographically dispersed resources. While the ability to distribute technology afforded organizations more flexibility, the side effect was inconsistent application of processes for technology delivery and support. The UKs Office of Government Commerce recognized that utilizing consistent practices for all aspects of a service lifecycle could assist in driving organizational effectiveness and Figure 1 – The End-To-End Service efficiency as well as predictable service levels and thus, ITIL was born. ITIL guidance has since been a successful mechanism to ITIL is typically used in conjunction with one or more other drive consistency, efficiency and excellence into the business of good practices to manage information technology such as: managing IT services. Since ITIL is an approach to IT “service” management”, the • COBIT (a framework for IT Governance and Controls) concept of a service must be discussed. A service is something • Six Sigma ( a quality methodology) that provides value to customers. Services that customers can • TOGAF (a framework for IT architecture) directly utilize or consume are known as “business” services. An • ISO 27000 (a standard for IT security) example of a business service that has common applicability across industries would be Payroll. Payroll is an IT service that is The Service Lifecycle used to consolidate information, calculate compensation and ITIL is organized around a Service Lifecycle: which includes: generate paychecks on a regular periodic basis. Payroll may rely Service Strategy, Service Design, Service Transition, Service on other “business” services such as “Time Tracking” or “Benefits Operation and Continual Service Improvement. Administration” for information necessary to calculate the correct compensation for an employee during a given time period. The lifecycle starts with Service Strategy – understanding who the IT customers are, the service offerings that are required to In order for Payroll to run, it is supported by a number of meet the customers’ needs, the IT capabilities and resource that technology or “infrastructure” services. An infrastructure are required to develop these offerings and the requirements service does its work in the background, such that the business for executing successfully. Driven through strategy and does not directly interact with it, but technology services are throughout the course of delivery and support of the service, IT necessary as part of the overall value chain of the business must always try to assure that cost of delivery is consistent with service. “Server Administration”, “Database Administration”, the value delivered to the customer. “Storage Administration” are all examples of technology services required for the successful delivery of the Payroll Service Design assures that new and changes services are designed business service. See Figure 1. effectively to meet customer expectations. The technology and architecture required to meet customer needs cost effectively is IT has traditionally been focused on the “infrastructure” services an integral part of Service Design. Additionally, processes and managing the technology silos. IT Service Management required to manage services are also part of the design phase. guidance in ITIL suggests a more holistic approach to managing Service management systems and tools that are necessary to services from end-to-end. Managing the entire business service adequately monitor and support new or modified services must along with its underlying components cohesively assures that be considered as well as mechanisms for measuring service we are considering every aspect of a service (and not just the levels, technology and process efficiency and effectiveness. individual technology silos) – to assure that we are delivering the required functionality (or utility – accurate paychecks for all Through the Service Transition phase of the lifecycle the design employees) and service levels (or warranty – delivered within a is built, tested and moved into production to assure that the certain timeframe, properly secured, available when necessary) business customer can achieve the desired value. This phase to the business customer. addresses managing changes, controlling the assets and configuration items (underlying components – hardware, software, etc) associated with new and changed systems, © Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010 This document must not be reproduced without express permission from The APM Group
  • 4. 4  ITIL®: The Basics service validation and testing and transition planning to assure significantly increase the efficiency of processes. In that users, support personnel and the production environment conjunction with the evaluation of efficiency metrics that has been prepared for the release to production. indicate the time required to perform each activity, service delivery tasks can be optimized. Once transitioned, Service Operation then delivers the service on an ongoing basis, overseeing the daily overall health of the service. • Measurable, improvable services and processes. The adage This includes managing disruptions to service through rapid that you can’t manage what you cannot measure rings true restoration of incidents, determining the root cause of problems here. Consistent, repeatable processes can be measured and and detecting trends associated with recurring issues, handling therefore can be better tuned for accurate delivery and daily routine end user requests and managing service access. overall effectiveness. For example, presume that a critical success factor for incident management is to reduce the time Enveloping the Service Lifecycle is Continual Service Improvement to restore service. When predictable, consistent processes are (CSI). CSI offers a mechanism for IT to measure and improve the used key performance indicators such as Mean Time To service levels, the technology and the efficiency and effectiveness Restore Service can be captured to determine whether this or processes used in the overall management of services. KPI is trending in a positive or negative direction so that the appropriate adjustments can be made. Additionally, under ITIL guidelines, services are designed to be measurable. With 2 Why would an organization the proper metrics and monitoring in place, IT organizations be interested in ITIL? can monitor SLAs and make improvements as necessary. Although today’s technologies allow us to be able to provide • A common language – terms are defined. robust capabilities and afford significant flexibility, they are very complex. The global reach available to companies via the internet provides tremendous business opportunity while 4 Which companies use ITIL? presenting additional challenges regarding the confidentiality, Literally thousands of companies world-wide and of all integrity and availability or our services and our data. Additionally, industries and sizes have adopted ITIL. These include: IT organizations need to continue to be able to meet or exceed service expectations while working as efficiently as possible. • Large technology companies such as Microsoft, HP, Fujitsu, IBM; Consistent repeatable processes are the key to efficiency, • Retailers such as Target, Walmart and Staples effectiveness and the ability to improve services. These consistent, • Financial services organizations such as Citi, Bank of America, repeatable processes are outlined in the ITIL framework. Barclay’s Bank; • Entertainment entities such as Sony, Disney 3 What are the benefits of ITIL? • Manufacturers such as Boeing, Toyota, Bombardier • Life Sciences companies such as Eli Lilly, Pfizer, Takeda What are the benefits of ITIL? Pharmaceuticals. The main benefits of ITIL include: • Alignment with business needs. ITIL becomes an asset to the business when IT can proactively recommend solutions as a 5 Further Information response to one or more business needs. The IT Strategy The following websites include authoritative information as well Group recommended in Service Strategy and the as pointers to other informative sources: implementation of Service Portfolio Management gives IT the www.best-management-practice.com opportunity to understand the business’ current and future needs and develop service offerings that can address them. www.apmg-international.com • Negotiated achievable service levels. Business and IT become true partners when they can agree upon realistic service levels that deliver the necessary value at an acceptable cost. • Predictable, consistent processes. Customer expectations can be set and are easier to meet with through the use of predictable processes that are consistently used. As well, good practice processes are foundational and can assist in laying the groundwork to meet regulatory compliance requirements. • Efficiency in service delivery. Well-defined processes with clearly documented accountability for each activity as recommended through the use of a RACI matrix can © Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010 This document must not be reproduced without express permission from The APM Group
  • 5. ITIL®: The Basics   5 Acknowledgments Sourced by APM Group Limited and published by TSO on www.best-management-practice.com Our White Paper series should not be taken as constituting advice of any sort and no liability is accepted for any loss resulting from use of or reliance on its content. While every effort is made to ensure the accuracy and reliability of the information, APM Group Limited and TSO cannot accept responsibility for errors, omissions or inaccuracies. Content, diagrams, logos and jackets are correct at time of going to press but may be subject to change without notice. © Copyright TSO, APM Group Limited and Valerie Arraj, Compliance Process Partners LLC in full or part is prohibited without prior consent from the Author. Trademarks and Statements ITIL® is a Registered Trade Mark of the Office of Government Commerce in the United Kingdom and other countries The Swirl logo™ is a Trade Mark of the Office of Government Commerce IT Infrastructure Library® is a Registered Trade Mark of the Office of Government Commerce in the United Kingdom and other countries © Official Accreditor of the OGC ITIL Portfolio: – APM Group Limited 2010 This document must not be reproduced without express permission from The APM Group