TheITManager’s GuidetoITILv3 - IT Infrastructure Library (ITIL) at … · 2019-08-28 · ITIL Version 3 is All Business By Drew Robb Jup it er mag s IT Infrastructure Library (ITIL)

an IT Management eBook

The IT Manager’sGuide to ITIL v3

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contentsThis content was adapted from Internet.com's bITaPlanet, CIO Update, and ITSM Watch Web sites.Contributors: Jennifer Zaino, Mike Tainter,Martin Likier, Drew Robb, Augusto Perazzo,Glen Willis, and Troy DuMoulin

The IT Manager's Guide to ITIL v3, an Internet.com IT Management eBook. © 2008, Jupitermedia Corp.

2 ITIL Version 3 is All BusinessDrew Robb

5 Bridging the Gap BetweenIT and BusinessAugusto Perazzo and Glen Willis

9 Q&A with Robert Stroud,Member of the ITILAdvisory GroupJennifer Zaino

12 The Evolution of ServiceManagement PhilosophyTroy DuMoulin

15 Key Differences BetweenITIL v2 and v3Mike Tainter and Martin Likier

The IT Manager's Guide to ITIL v3[ ]

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“Shrek III” was better. So were "Rocky III" and "MissionImpossible III." But while ITIL III is no blockbuster, it isgetting decent ratings from the IT community overall.

In particular, it is earning kudos for attempting to bridge thechasm between IT and the various business units withinorganizations.

IT Infrastructure Library (ITIL)made its debut in 1989 and sincethen has become the de factostandard for IT service manage-ment best practices. Since therelease of v2 at the start of themillennium, there have been newbusiness regulations and man-dates, technology advancements,and general shifts in how IT is val-ued.

In light of this, the UK's Office ofGovernment and Commerce(OGC) has been working withindustry leaders to update ITIL forthe third time in two decadeseven as many organizations are invarying stages of ITIL adoption.With the release of ITIL v3 come many questions fromIT managers and CIOs. Most common among them:"What's the difference between v2 and v3?" and"Should I wait to start my ITIL project?” and, "What

does this have to do with the data center?"

"For those worried about a brand new ITIL, instead ofthinking of it as a big bang, think more of it beinganother step on a evolutionary pathway designed tohelp you better deliver what you are already trying to

do," said Martin Atherton, princi-pal analyst at consulting firmFreeform Dynamics in the UK."Practitioners will be pleased toknow that all their ITIL effortsthus far will not be any less rele-vant or become redundant withthe new version of ITIL."

ITIL Adoption ClimbsThe commercial world is embrac-ing ITIL in a big way. Accordingto Forrester Research, over 40percent of billion dollar corpora-tions have already adopted ITIL.That figure will rise to 80 percentby the end of 2008.

Why are adoption rates so high?As well as greater efficiency

Gartner states that an organization can achieve up to a48 percent reduction in total cost of ownership (TCO)by fully implementing ITIL. It's no wonder that the first

2 The IT Manager's Guide to ITIL v3, an Internet.com IT Management eBook. © 2008, Jupitermedia Corp.


ITIL Version 3 is All Business

By Drew Robb

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IT Infrastructure Library (ITIL) made its debut in 1989 and since then hasbecome the de facto standard for IT service management best practices.

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ever international standard (ISO 20000) covering howorganizations are to manage IT services is built aroundITIL.

Most organizations currently involved in ITIL are work-ing on ITIL v2, which introduces more formal processes.The goal was to promote better business-IT workingrelationships, eliminate redundant processes, improvelevels of services, and reduce operating costs.

"ITIL v2 was clearly a big success and the number oforganizations implementing it is testament to that fact,"said Ron Potter, manager of best practices atTeamQuest Corp. "The most common benefits report-ed by users are better service improvement andreduced costs."

But ITIL v2 was far from the finished article. Thus sever-al years of review and consultation have gone into fur-ther ITIL refinements. In 2007, the third version of ITILwas released.

v2 vs. v3So what's new? The core of ITIL will stay much thesame. The Service Management Knowledge Systemaddresses the incorporation of certain knowledge man-agement principles into ITIL. The labels, though, havechanged slightly. ITIL v3's core practices are now:Service Strategy; Service Design; Service Transition;Service Operation; and Continuous ServiceImprovement.

"Probably the best way to describe the difference is tolook upon ITIL v2 as being process-oriented whereas v3is much more service-oriented," said Potter. "In otherwords, v2 is more about linear process flow from busi-ness to infrastructure where v3 is a hub-and-spokestructure that adds flexibility and addresses the uniquechallenges of the Web."

The new version is also more customizable so may beable to better meet the individual organization's needs.Although most of the v2 processes continue to exist,this ITIL refresh is designed to be less complicated tocomprehend. This should make it much easier to sellITIL-based programs to senior management.

v3 also adds flexibility by providing structure to incor-porate complimentary best-practices such as Six Sigma.

It has separate component to address unique chal-lenges of the Web, though Service Delivery and ServiceSupport remain central elements in v3 as they were inv2.

Another benefit of the latest ITIL iteration is it makesteam effort between IT and business crucial to success.The previous version left too many opportunities for ITto go it alone so ultimately the business never reallyunderstood the value of IT.

"v3 closes the gaps," said Potter. "That, however, mayprove to be a two-edged sword as the companies thatcan't or don't care to involve the business will not dov3 for very reason that business must be involved."

What To Do?So what should users do that are in the midst of an ITILv2 project? Potter suggests it is probably best to staythe course with in-flight ITIL implementations as theyalready have senior management buy-in. Once ITIL is inplace, the project team should have an after-actiontaskforce review the differences between the two ver-sions, see if there's anything that brings additionalvalue to the organization and only then commissionwork to tweak the processes.

On the other hand, some organizations are strugglingto commence ITIL because they failed to achieve acommon point of understanding among their variousstakeholders. In a case like this, Potter said it might bebest to switch to v3 as it will probably facilitate betterunderstanding. ITIL v3's changed viewpoint does agood job of communicating the business value of ITIL.

Using the service perspective of v3 will permit seniormanagers to better understand the advantages ITbrings to the organization, both from a service qualityand a cost perspective. Since it is more customizable,ITIL will meet the organizations needs more closelythan the older method, which made use of genericprocess views. As a result, the odds of success improvebecause the solution is designed just for that organiza-tion and described in terms that both senior IT andbusiness management will understand.

Products ProliferateVendors, of course, are quick to come out with prod-ucts that facilitate the move towards ITIL and incorpo-



rate the v3 changes. TeamQuest Performance Softwarev10.1, for example, includes the concept of ITResources, which aligns closely with ITIL methodology.Additionally, TeamQuest IT Service Analyzer permitsquicker identification of performance-related issues.Capacity managers can drill down to isolate affectedservices and users, and determine the exact reason forbottlenecks before they snowball into major problems.This facilitates the accomplishment of many of thecapacity management goals of ITIL v3.

CA for example, has just released Unicenter ServerCatalog that enables IT services to be defined, deliv-ered, and consumed in business terms. It provides acentralized source of information for all services. Bykeeping IT informed about who is requesting and con-suming resources as well as the frequency with whichthey're doing so, it also aids in demands in demandplanning and allocation.

"Organizations need to ensure their IT spend is direct-

ed where it will do the most good and deliver the bestreturns," said David Hurwitz, vice president of productmarketing at CA. "Unicenter Service Catalog enablesthe business and IT staff to work cooperatively andimplement best practices that optimize IT spending."

But ITIL isn't the answer to everything. While v3encourages business and IT to coordinate, it takes reallive communication between CIOs and line of businessheads to relate ITIL to their own environment. And fromthere, they need to align it closely to ongoing pro-grams and strategies.

"ITIL is high-level and focuses on what should be done,but doesn't describe at a detailed level how to do it,"said Gartner research director Ed Holub. "It is impor-tant that IT and business executives work together tounderstand what specific business problems they aretrying to resolve, and how ITIL can be an enabler tosolving them." �



Historically, ITIL has been predominantly applied withinthe operational support (downstream) areas of IT. Thefocus has been onmaintaining existing services at a

satisfactory level of quality and on increasing operationalefficiencies -- in general, to domore with less.

While the vast majority of all IT spending is focused on"keeping the lights on," IT organizations with an opera-tional focus are struggling tointroduce new services inorder to keep up with chang-ing business needs.Furthermore, new productsand services have been tradi-tionally delegated to projectbased IT functions such asapplication developmentgroups, which their ownprocesses and methodologieswith very little considerationfor operational realities.

So, how do organizations thathave established ITIL pro-grams with an operationalfocus facilitate the creation of new services and ensuregreater integration among project based IT functions,IT operations, and the ever changing businessdemands?

They must shift the focus from the pure operationalmanagement of deployed services to a more strategicview of the entire service lifecycle. ITIL v3 comes to therescue by incorporating a more strategic, innovation-focused and integrated view of service management,better aligning the IT service portfolio to the businessstrategy and providing project teams with an honestand realistic view into the operational realities of anorganization's enterprise.

From Business asUsual to InnovationMost experts believe thatapproximately 60 to 80 per-cent of the IT budget is allo-cated towards operations,i.e., spent on managing day-to-day activities.Nonetheless, according toindustry surveys the majorityof CIOs would prefer tospend much more of their ITbudget on innovation.Trends such as sourcing and

IT commoditization are the results of companies tryingto divert a greater portion of the IT spend from theoperational areas to the areas driving innovation andnext generation IT solutions.



Bridging the Gap Between IT and Business

By Augusto Perazzo and Glen Willis

While the vast majority of all IT spending is focused on "keeping the lightson," IT organizations with an operational focus are struggling to introduce

new services in order to keep up with changing business needs.

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CIOs would much rather be recognized as a businessstrategist than as an operational guru. However, thereality is far from such ambitions.

One of the main implicit assumptions in ITIL version v2is that the services to be managed were already inplace. The question was how to best provide such serv-ices to the business. This led most ITIL implementationsdown the cost reduction path. IT executives saw ITIL asa set of best practices to manage existing services inthe most effective and efficient manner.

This is the operational guru view.

There are many success stories on how ITIL guidancehas helped organizations reduce spending on IT opera-tions and become more effective. Nonetheless, busi-nesses are increasingly demanding for IT to be anenabler of innovation and to focus on more strategicconcerns such as creating competitive advantagethrough the development of new products and servic-es.

Cost reductions, while still imperative, should not bethe primary focus of a well-aligned IT organization.Organizations must understand once and for all thatthere should be no separation between business strate-gy and IT strategy. In times where the technology infra-structure touches, supports, and enables all areas ofbusiness, IT is the business and the business is IT. CIOsmust become business strategists.

v3 builds up on the operational excellence concepts ofv2 and extends service management towards a moreholistic approach. With the lifecycle mindset embed-ded in v3, IT organizations are better equipped tounderstand the business needs, to have a closer dia-logue regarding business strategy and to best supportit through the creation, design, and implementation ofrelevant IT services that are in sync with businessrequirements.

The Service Strategy phase in the v3 lifecycle providessuch guidance. It encourages IT organizations to under-stand why a service is needed from a business perspec-tive and how to best align to and pursue IT capabilitiesthat are in par with business needs. It places IT as acore strategic asset, participating and often leading thebusiness towards the innovation path.

A key concept at the Service Strategy phase is the defi-nition of Market Spaces. It recognizes that a service orproduct must be developed according to a specificneed and thus must keep the target customer(s), be itinternal or external, in mind at all times. There is no jus-tification for providing a service that is of no or little rel-evance to its consumers, no matter how efficient youcan deliver the service.

This represents a paradigm shift within IT service man-agement. In the past, ITIL has never explicitly ques-tioned the relevance of a given service but was mostlyfocused on supporting it in the most cost-effectivemanner. Imagine for instance that you are hired to man-age a Barber and Beauty shop. From an ITIL perspec-tive there are two ways you can approach this. In the v2way, you would roll up your sleeves, inherit a bunch ofexisting services and look at how you can deliver theseservices in the most efficient way.

However, following the v3 philosophy, you would firstcatalogue all existing services, understand your cus-tomer, and make sure that the services you provide arein line with their needs. That insight would lead you tomodify some of the existing services, retire services thatare no longer relevant and introduce new servicesaccordingly. Furthermore, ITIL v3 would encourage youto continue to monitor the relevance of your servicesamidst shifts in consumer tastes.

Which way would you rather approach this if it wereyour business?

Aligning the IT Service Portfolio tothe Business StrategyBusiness strategy concerns which opportunities, marketsegments, products, and services the organization willfocus upon and how it will gain advantage over com-petitors in meeting customer needs. Once those aredefined then it is time to rally the troops to execute thestrategy. However, before execution can begin organi-zations must decide on the best organizational struc-ture, business processes, systems, and services to sup-port it. IT strategy—including which IT services and ITapplications are needed—becomes just another com-ponent of the greater business strategy.

The Service Design phase in ITIL v3 provides guidance



on how to build a portfolio of services that are alignedwith the business strategy. Whereas the ServiceStrategy phase is concerned with understanding thewhy and elaborating on what is needed, Service Designis concerned with how to make it happen.

Furthermore, Service Design assesses the feasibility ofdeveloping such services and that IT possesses theright capacity to meet growing business demands. Butabove all, Service Design goes beyond the infrastruc-ture requirements and takes a holistic view of howprocesses, people, and platforms, managed internallyor by an outside vendor, comes together to best sup-port the overall business strategy.

Organizations should take advantage of the guidanceprovided in Service Design to ensure that all IT servicesare created with the ultimate end goal in mind: toenable business strategy and innovation at the mostcost effective manner.

New and existing services must pass the following test:the service is relevant under the overall business strate-gy and it can be provided in the most cost-effectivemanner. If a service is relevant but its cost is prohibitive,e.g., it is not in line with business benefits, the serviceshould be redesigned and optimized.

Bridging the Gap BetweenDevelopment and OperationsUnfortunately, IT organizations are mainly divided intotwo groups: engineering/application development andoperations/maintenance groups. In this arcane IT world,the app-dev guys are expected to "understand" thebusiness needs, create new and slick applications tosupport it and toss it over to the operations guys. Thelatter group then becomes responsible for making sure,sometimes in a miraculous way, that the new app is upand running 24/7 and are charged with day-to-day usersupport.

Many conflicts have emerged in such a disconnectedworld. Apps are developed with too little considerationof operational requirements and are built over plat-forms that are hard to integrate into the live infrastruc-ture. Furthermore, operations staff is poorly trained onhow to support user needs and the original creators ofthe application are often too busy with the next big

thing to provide any timely guidance and relief to theops team. At the end, one group blames the other forproduction issues but forgets the real losers: the peo-ple you are building the app for in the first place.

One of the reasons that IT groups were artificially isolat-ed from each other can be linked to incompatible cul-tural perspectives. App-dev groups are used to thinkingin terms of software development lifecycles (SDLC). Nomatter which SDLC has been used, be it waterfall mod-els or more iterative processes such as RUP and Agile,they all incorporate the concept of phases, going fromunderstanding business and users requirements,designing and building an app to fulfill those needs, totransitioning it to the live environment.

By nature of the process such activities occur with adegree of isolation from day-to-day business concernsand mostly under operation's radar. This kind of protec-tive mode hinders app groups from having insights intooperational issues and vice versa.

In contrast, operations are concerned with the day-to-day activities required to maintain the IT infrastructure;making sure people have all the tools they need to per-form their business duties and that eventual glitchesare resolved on a timely manner. They live these dutiesand usually are not concerned with development work.Through the eyes of operations this "type" of workresides on a different environment, protected by atime-bounded concept called a "project." Operationshas no defined duration and does not come to an end,it lives in perpetuity.

Although concepts in ITIL v2 have attempted to miti-gate these issues, previous efforts were concentratedon the moment the baton passed from one group tothe other. "You do your thing, we'll do ours." This limit-ed, shortsighted overlapping between the two groupshas proved to be a fiasco time after time.

ITIL v3 provides a greater opportunity to address thisunproductive behavior. By incorporating the mindset ofa service lifecycle, v3 brings service management andoperations much closer to the way app dev groupshave been working for years.

First, ITIL v3 provides guidance on how operationalconcerns such as availability, capacity, and incident



management can be taken into consideration whennew services are being designed. The Service Designphase seeks to ensure that new services are discussedand designed with business requirements in mind andoperational realities on hand. New services will requiretechnology and new, integrated software applicationsto realize its full potential. Therefore operations staffshould be involved early on in the developmentprocess to advocate for operational needs and tounderstand any new demands placed on the live envi-ronment.

Second, through the Service Transition phase, v3 rec-ognizes that a much more structured approach is need-ed in order to transition a service, its related applica-tions and subsequent modifications from the develop-ment group into the live environment. This phasebrings the two groups even closer together to ensure asmoother transition.

Third, by promoting a service lifecycle as opposed to asoftware development lifecycle, ITIL v3 can provideinsights to the app-dev group about service manage-ment. App-dev groups must create applications insidethe greater context of a service. They must ask them-selves which IT service(s) will this application supportand/or enable:

• How efficient and effective will this application bein enabling day-to-day business processes once itgoes live?

• How can it be changed in the less disruptive way inorder to adapt it to new business needs withoutintroducing unwanted risks?• How to best support users without key technicalresources being stripped away from critical newdevelopments?

Those are all questions that ITIL v3 with the support ofthe operations group can help elucidate.

SummaryIn conclusion, ITIL v3 provides a mindset shift. Itencourages service management organizations to stepoutside the operations realm and to work closer withthe business in order to provide relevant services thatare aligned to the business strategy in the most effec-tive and efficient way. It goes further and provides aframework and an opportunity to unify and integrate ITgroups to work together.

Under the ITIL v3 umbrella, the two groups will betterunderstand that new business strategies require newservices realized by new applications that will eventual-ly transition to the live environment and be supportedby operations. They must then stop the blaming eachother and work together towards serving and delight-ing the business.

After all, isn't this the Holy Grail of service manage-ment? �



Oneof the features of ITIL emphasized in v3 is itsfocus on business-technology alignment throughcontinual service improvement. We spoke with

Robert Stroud, a member of the ITIL Advisory Group (IAG)for the ITIL v3 update project, about how ITIL v3 maychange how organizations move forward with ITIL imple-mentations.

Stroud also is an ITIL review-er, mentor, and board mem-ber of the IT ServiceManagement Forum (itSMF),as well as director of brandstrategy for CA's BusinessService Optimization busi-ness unit. CA's BusinessService Optimization soft-ware includes asset, configu-ration, enterprise change,service, project and portfo-lio, business process, andmainframe resource management software.

Q: Can you explain ITIL's lifecycle approach to imple-mentation, continual improvement, and business-technology alignment?

Stroud: The industry used to do technology for technol-

ogy's sake. Now technology is being leveraged forbusiness advantage. There's this notion around IT andbusiness alignment. We know that it's not enough tobuy new technology — we need to see value out of it.The same is true in v3 — looking there at the "plan,do, check, act" lifecycle to link processes together, to

get from the beginning tothe end process, and oneof the outputs of that is toget value all the waythrough.

In terms of the new guid-ance, one of the things is, ifyou look at ITIL v2, the 10books cover most of theareas we look at in v3. Butwe've come up with a logi-cal flow of doing things. Soat the core, we've startedwith service management

strategies, and these are clearly designed to align ITand the business. And understand the business metricsto measure to and imperatives to run to — a key pointsometimes missed in terms of implementation of lots ofthings, not just ITIL.

From there, we give the process of guidance to design,



Q&A with Robert Stroud, Memberof the ITIL Advisory Group

By Jennifer Zaino

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One of the features of ITIL emphasized in v3 is its focus on business-technology alignment through continual service improvement.

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implement, and operate services, and then surroundingit all is continual service improvement. Some elementswe've placed to assist are organizational charts, keymeasurement metrics, linked back to base elementslike the cost to deliver IT services, so you can havethose considerations upfront, and elements like man-agement of knowledge through the lifecycle. Sadlymissing in v2 is, how do I manage the knowledge —we've defined processes to develop, verify, implement,and refine that knowledge.

Q: What is your perception of the state of ITILimplementations today, and how will ITIL v3 changethese?

We see a lot of single-process implementations.Someone might do incident and problem manage-ment, and get those to a mature level.[Incident/Problem Management is the resolution andprevention of incidents that affect the normal runningof an organization’s IT services.] Then they start thechange management process, and so on. These arekind of in silos.

One of the benefits of IT and business alignment[which ITIL v3 focuses on] is that feedback loop. Forinstance, there's an incident that impacts a major pro-duction system, you quickly rally the troops to resolvethat by checking first the knowledge store of previousincidents, and then from there you see a patternemerge, and schedule a change. It shows the interac-tion between processes. It's thinking through the busi-ness service you are delivering. Customers are verygood at base processes. Now they want to see the realbusiness interconnectivity.

Q: Can you give a real-world example of how thismight play out?

Yes. For example, say you're in retail banking, youwould have a base of service levels to measure to — aservice should be available these certain hours, havethis transaction throughput, and in the event of an inci-dent the business continuity plan says the systemshould be back up in five minutes. Then look at whichITIL processes you need to support that [incident man-agement, change management, measure service levelsto provide reports to users]. You can implement thisquite quickly in terms of ITIL processes.

In that example you can do the basic things first, andas you become a little more mature, look at linkingmore elements or becoming more sophisticated withthe service levels. Over time, because you are startingto document processes, you will see room for efficiencyimprovements as well. Part of the iterative develop-ment is to plan, do, check, and act. Set the process inplace, achieve certain levels, and move on from there.

Q: Managing your ITIL implementation this way isn'texclusive to v3, though — couldn't businessesundertaking ITIL initiatives now be thinking aboutoperating this way, without waiting for the publica-tion of the new texts?

Absolutely you could do it this way with v2. ITIL is com-mon sense. A lot of the best practices were in people’sminds. But in v3 we've taken the field experience andmodified the guidance to reflect what is really happen-ing in the real world.

A lot of organizations have already made the move tothis more cross-process type thought pattern, whetherthey have started implementing or not. ITIL is now sup-ported well by a large vendor community. The guid-ance we've been giving out has been cross-processguidance for some time now. So, if you are doing v2today you are well-positioned to move forward, andone of the aspects of that is that in v3, we support allthe v2 processes that are in the field to help ITIL practi-tioners move forward.

There's always some insecurity when the worldchanges. But the reality is you can implement ITIL v3 asyour organizational appetite allows. If you're already onthat direction by looking across processes, this can onlyhelp accelerate your journey.

Q: Any noticeable changes in how people areapproaching ITIL?

A year ago, people were starting with incident andproblem management as the first processes on top ofservice desk. One change is that people are looking todo change management first. Very much in the lastyear, ITIL clients who are fairly mature see value inmeasuring, monitoring and managing change, as itdoes have a correlation to the performance of theirenvironment and business alignment. The industryunderstands the delivery of service is paramount, and



managing change, both controlled and uncontrolled, isa key point in helping to control the environment.

Q: What sorts of tie-ins will we see between ITIL v3and other governance or security standards?

We've identified that you must allow for governance,security, and quality management standards. Onceguidance is developed, we will develop a series ofcomplementary publications and mappings. [For exam-ple, ISO 2700, ISO 20000, and the new software assetmanagement standard IA19770-1 will be key.] So map-pings to those types of things will follow the guidanceto say where there’s a standard you might want to use,here it is. Go grab it here's the mapping.

Q: How is CA preparing for ITIL v3 in its products?

The reality we've seen is that we've already been sup-porting a lifecycle model and "plan, do, check, act" for

some time in terms of integration and delivery of ourproducts. Over time, we will see some modifications tothe products to reinforce the processes in v3 but weare already clearly continuing with our objective ofhelping customers accelerate their ITIL journeys withthe automation of technology and processes.

For example, for some time we've talked about changemanagement at the enterprise level. Right now, manyITIL change implementations may start when thechange is documented in the change system and hand-ed to operations. We look at the lifecycle approach,from the request to approval through to integrationwith the coding aspects, understanding the operationalimpacts, and then passing that code for testing changeinto production, etc. We certainly have supported thatwith our integrated products for some time, and thatwill play nicely into the ITIL v3 approach. �



It has often been said that the only constant is change. Inthe dynamic world we live in, this is true of all organicthings and ITIL is no different. From its humble beginnings

as an internal U.K. government initiative, to its growth andadoption as a global best practice and standard for ServiceManagement, ITIL has takenmany steps along the road ofprogress andmaturity.

First published in the late1980s, ITIL started as a proj-ect to document best prac-tices in IT, but it has sincebecome known worldwide asthe most credible frameworkfor IT Service Managementand is now an internationalstandard (ISO 20000).

The last version (v2) was pub-lished in 2000. Commencingin 2004, the ITIL v3 project involved extensive consulta-tions with thousands of global ITSM practitioners fromthe public and private sector, vendors, qualificationbodies, exam institutes, and education providers.

Among the key changes we see in ITIL v3 is a shifttowards a service-driven lifecycle approach and moreprescriptive guidance than v2. Whereas v2 outlined

what should be done in terms of process improvement,v3 explains how it should be done. Demonstrating ROIto the business is another new feature that was one ofthe most common requests from the industry consulta-tions.

It is our view that ITIL v3 isdefinitely taking a majorstep in the right direction.Comparing v2 to v3, we canidentify and interpret someadditional key evolutions inITSM philosophy:

Business/ITAlignment (v2) vs.Business/ITIntegration (v3)For many years, we have

been discussing the topic of how to align business andIT objectives. We have done this from the assumptionthat while they (business and IT) shared the same cor-porate brand, they were somehow two separate andvery distinct functions.

However, when does the line between the businessprocess and its supporting technology begin to fade to



The Evolution ofService Management Philosophy

By Troy DuMoulin

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Among the key changes we see in ITIL v3 is a shift towards a service-driven lifecycle approach and more prescriptive guidance than v2.

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a point where there is no longer a true ability to sepa-rate or revert back to manual options?

If you consider banking as an example, the financialmanagement business processes and their supportingtechnologies are now so inter-dependent that they areinseparable. It is due to this growing realization that theterm alignment is being replaced with the concept ofintegration.

Value Chain Management (v2)vs. Value Service NetworkIntegration (v3)When reading ITIL v2, you get the perception that thebusiness and IT relationship is primarily about a busi-ness customer being supported by a single internal ITservice provider (Value Chain Management). Littleacknowledgement or guidance is provided about thereality of life never being quite that simple.

Today's business and IT relationship for service provi-sion is much more complicated and complex than theconcept of a single provider meeting all businessneeds. We need to consider that yes, there are internalIT functions, but some are found within a business unitstructure where others are providing a shared servicemodel to multiple business units.

Add to this the option of using different external out-sourcing options or leveraging software as a service(SaaS) model and what you end up with is what ITIL v3refers to as an Integrated Value Service Network.

Linear Service Catalogs (v2) vs.Dynamic Service Portfolios (v3)While ITIL has always been referred to as an IT ServiceManagement Framework, the primary focus up untilnow has been on the 10 Service Support and Deliveryprocesses. In previous versions of ITIL, the concept of a"service" has almost been an afterthought or at leastsomething you would get to later.

Consider that in ITIL v2 the process of Service LevelManagement has, as one of its many deliverables, aService Catalog which can be summarized from thetheory as a brochure of IT Services where IT publishesthe services it provides with their default characteristicsand attributes or Linear Service Catalog.


The IT Manager's Guide to ITIL v3[ ]The Buzz About ITIL v3By Jennifer Zaino

We asked a few leading thinkers in the vendor andconsultant community to share some of theirthoughts about the enhancements and improve-ments to the best practice framework.

George Spalding, vice president, and Gary Case,executive consultant, Pink Elephant, authors ofthe Continual Service Improvement ITIL book.

One of the biggest changes in v3 is the ServiceLifecycle Approach: The five core books are ServiceStrategy, Service Design, Service Transition,Service Operation and Continual ServiceImprovement. Service Strategy was not covered alot in v2, so much of this material is really new, andthe goal is to provide organizations with the abilityto design, develop and implement ServiceManagement as a strategic asset and to think andact in a strategic manner. Continual ServiceImprovement as a Practice is also fairly new materi-al.

Another major change is the move from discussingBusiness and IT Alignment to Business and ITIntegration. Also, v2 talks about a Service Catalog,while v3 talks about a Service Portfolio and ServiceCatalog.

Within Service Design, Service Transition andService Operation, the processes that were in V2have been updated and modified based on goodpractice. There have also been new processesadded, such as Knowledge Management, EventManagement, and Supplier Management. ServiceRequest Management has also been removed fromthe Incident Management process and is now itsown process. Finally, v3 provides more prescriptiveguidance than v2. Whereas v2 told you what youshould do, v3 goes a bit further and tells you howyou should do it.

Robert Stroud, CA ITSM & ITG Evangelist

ITIL Version 3 has been developed to meet the grow-ing needs for the integration between business andIT to ensure the transparent delivery of businessservices representing the current and future state ofITSM delivery.

The new books consist of a core or central themethat follows the Deming (Plan-Do-Check-Act) lifecy-cle with an integrated approach from planning to

In contrast to this, a Dynamic Service Portfolio can beinterpreted as the product of a strategic process whereservice strategy and design conceive of and createservices that are built and transitioned into the produc-tion environment based on business value. From thispoint, an actionable service catalog represents the pub-lished services and is the starting point or basis forservice operations and ongoing business engagement.

The services documented in this catalog are bundledtogether into fit-for-purpose offerings, which are thensubscribed to as a collection and consumed by busi-ness units.

Collection Of Integrated Processes(v2) vs. Service Management Lifecycle(v3)Based on publicly available information, we know theITIL v3 core books are structured around a ServiceLifecycle. This new structure organizes the processeswe understand from ITIL v2 with additional content andprocesses we are waiting to hear more about within thecontext of the life span of IT Services.

From this observation, we can see the primary focus isshifting from process to IT Service. While processes areimportant, they are secondary and only exist to planfor, deliver and support services. This moves the impor-tance and profile of the Service Catalog from being anaccessory of the Service Level Management process tobeing the corner stone of ITSM.

As organizations evolve from a technology focus to aservice orientation focus, these core changes to ITILprovide the context and ability to support this emerg-ing reality. �


The IT Manager's Guide to ITIL v3[ ]execution, monitoring and provisioning, whichform the basis for IT service improvement. ITIL V3introduces more detailed guidance, which therebyenables faster and more cost-effective implementa-tions.

ITIL v3 now follows the lifecycle approach and hasmoved from a focus on individual ITIL processes tothe services that IT delivers. This, coupled with themore detailed guidance, will allow CIOs to moreactively communicate the value of IT to the busi-ness, while enabling IT staff to focus on the ele-ments that drive value to the business.

ITIL v3 provides the CIO with the ability to measurethe value of the ITIL process implementation andthe business services delivered, which will enablehim to focus on business value rather than ITprocess.

Ken Turbitt, BMC Software globalbest practices directorIn various meetings at BMC UserWorld EMEA inPrague, where we had the privilege of havingSharon Taylor (Chief Architect of ITIL v3 and ChiefExaminer of ITIL v3) together with Michael Nieves(Accenture and co-author of the Service Strategiesbook), it became apparent that ITIL v3 is not a revo-lution, just an evolution. In fact, it is simply catch-ing up with that is actually happening today in themarket. Yes, it has brought in some new thinkingand processes, but these are in place in manyorganizations today.

The lifecycle approach is a new way of looking at IT,getting away from the silo approach of functions,and taking an holistic approach to services: FromStrategy, and how this integrates with the businessstrategy, goals, and objectives, through into theDesign of the service based on that strategy, toTransitioning that design while managing or mini-mizing the disruption, and on into Operations ofthat new service until the end, with continualimprovement at each phase.

Someone recently asked me, would it be difficult tomove from v2 to v3? My response was, tell me whenpeople have v2 implemented and I will tell you howdifficult to move. Very few have all seven core v2books implemented, and even fewer the remaining30 books in the library. So why would they all sud-denly implement all of v3? They need to read,understand, and decide what needs changing fromhow they deliver services today. Maybe it's more athrough process change than anything else. �

Bynow you have read numerous articles explaining thatITIL v3 is really just an extension of the previous libraryand that the underlying principles and processes have

not really changed, but rather have been refined in places.

The same articles may have also stated that a primaryrationale behind the refresh was that ITIL v2 was heavilyprocess-focused. In contrast, ITIL v3 is centered on aservice lifecycle approach tohelp IT departments focus onproviding business value.However if you are like us, youmay have finished readingthose articles and still askedyourself, "What are the keydifferences between ITIL v2and V3?" And, even moreimportant, "How does thenew version affect my ITILimplementation? Do I need toswitch over to V3? How quick-ly?"

The simple answer is: Keep doing what you're doing. Ifyour organization is in the middle of an ITIL v2 imple-mentation, you do not need to change horses mid-stream. The expanded elements of ITIL v3 are, in manycases, best-practice activities your organization isalready following even though they were not explicitly

described in ITIL v2. However, if you have not yet start-ed your ITIL journey, there is no reason not to start withthe latest version. Finally, organizations that havealready completed their ITIL v2 implementation, willfind it useful to take advantage of the new version asthey proceed with ongoing improvements to their ITservice management approach.

That being said, for thoseinterested in better under-standing the differencesbetween ITIL v2 and ITIL v3,we've provided a detailedcomparison.

Topics RealignmentThe most obvious change isthe format of the library itself.The ITIL v2 library was pre-sented in seven core books:Service Support, Service

Delivery, ICT Infrastructure Management, Planning toImplement Service Management, ApplicationManagement, The Business Perspective, and SecurityManagement. Most IT professionals focused on the firsttwo books, which are sometimes referred to by theircover colors, as "the blue book" (Service Support) and"the red book" (Service Delivery).



Key Differences Between ITIL v2 and v3

By Mike Tainter and Martin Likier

Jupiterimages

If your organization is in the middle of an ITIL v2 implementation,you do not need to change horses midstream.

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The blue book deals with best-practice processes forday-to-day activities while the red book deals withbest-practice processes for forward-looking activities.They offer guidance as to how organizations canimprove their processes to work smarter, but do notparticularly align the processes discussed with largerbusiness requirements. The other five books touchrather lightly on a variety of ITIL process issues, and areconsidered somewhat esoteric even by ITIL experts.

In contrast, the ITIL v3 has been organized into fivenew books: Service Strategy, Service Design, ServiceTransition, Service Operation, and Continual ServiceImprovement. These books follow a more practicalorder:

1. How to develop a busi-ness-driven strategy for ITservice management2. How to design a systemto support the chosenstrategy3. How to transition thenewly designed system tothe production environ-ment (in terms of peopleand processes as well as technology)4. How to support operations in an ongoing fashion5. How to continue improving processes and opera-tions

In addition, the regrouping and expanding of the top-ics in each book better aligns IT processes and opera-tions with the business outcomes they are meant toenable.

Expansion of Process DescriptionsIn ITIL v3, the key concepts of Service Support andService Delivery processes outlined in ITIL v2 havebeen preserved. They have, however, been augmentedwith 12 new processes.

Service Strategy (Book 1)Financial management: No material changes from V2.

Demand Management: ITIL v2 discussed concepts ofDemand Management within the context of CapacityManagement. However ITIL v3 introduces the processof Demand Management as a distinct process and as a

strategic component of service management.

Service Portfolio Management: ITIL v2 only discussedService Level Management. ITIL v3 represents a funda-mental rethinking of services, recognizing the need toconceptualize and identify a portfolio of services beforedealing with the specifics of levels of service.

Service Design (Book 2)Service Level Management: No material changes fromITIL v2 in Service Design book. Also covered inContinuous Service Improvement (Book 5).

Availability Management, Capacity Management, andIT Service ContinuityManagement: No materialchanges from v2.

Service CatalogManagement: A newprocess that consolidatesand formalizes theprocesses around ensuringthat a service catalog isproduced and maintained,and that it contains accu-

rate information on all operational services and onthose being prepared to be run operationally. In addi-tion, v3 identifies the need for two interdependentparts of the service catalog, namely an "external" busi-ness catalog of (business) services as described andrecognized by end-users, and an "internal" technicalcatalog of the tools, processes and proceduresrequired to support those services.

In ITIL v2, the concept of a service catalog was men-tioned, but no process was outlined for its creation ormaintenance, nor was the distinction made between abusiness catalog and a technical catalog.

Supplier Management: A process for ensuring that allcontracts and suppliers support the needs of the busi-ness and that they meet their contractual agreements.Supplier management was covered in ICT InfrastructureManagement in ITIL v2.

Information Security Management: A comprehensiveprocess designed to address the strategic direction forsecurity activities and to ensure that objectives are



In ITIL v3, the key concepts ofService Support and Service

Delivery processes outlined inITIL v2 have been preserved.

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achieved. It includes the confidentiality, integrity, andavailability of an organization's assets, information,data, and IT services. Information security managementwas covered in very limited form in its own book in ITILv2. ITIL v3 brings this topic up-to-date with currentinformation security concerns and brings it into betteralignment with related issues facing IT organizations.

Service Transition (Book 3)Transition Planning and Support is a unified processfor coordinating all the activities of ChangeManagement, Configuration Management, andRelease Management described in ITIL v2. It has nowbeen expanded and is presented alongside the relat-ed topics of Service Validation and Testing (i.e., test-ing a new change), Evaluation (managing risks associ-ated with a new change) and KnowledgeManagement (gathering, analyzing, storing and shar-ing knowledge and information).

The seven process descriptions have been expanded.In ITIL v2, Knowledge Management was discussed sep-arately, in the Application Management book.

Service Operation (Book 4)Incident Management and Problem Management: Nomaterial changes from ITIL v2.

Event Management is a standalone process for detect-ing and managing events and alarms (which ITIL calls"exceptions"). In ITIL v2, Event Management was cov-ered under Incident Management.

Request Fulfillment is a new process for managing thelifecycle of all customer- and user-generated servicerequests. These types of requests include facilities,moves and supplies as well as those specific to IT serv-ices. In the previous version of ITIL, this process wascovered under Incident Management. A notable differ-ence in ITIL v3 is it now recognizes the existence ofservice requests beyond merely "break/fix" restorationof service.

Access Management is a new process that providesrights and identity management related to grantingauthorized users the right to use a service, whilerestricting access to non-authorized users. In ITIL v2,Access Management was covered in the SecurityManagement Book.

Continual Service Improvement (Book 5)The ITIL v2 red book described a Service ImprovementProgram (SIP) within the context of Service LevelManagement, discussing best practices for measuring,monitoring and reporting on services which ultimatelyprovided the data for making improvements. ITIL v3expands this into its own book, Continuous ServiceImprovement, and structures a seven step improve-ment process as follows:

1. Define what you should measure2. Define what you can measure3. Gather the data4. Process the data5. Analyze the data6. Presenting and using the data7. Implement the corrective action

Function ComparisonITIL v2's Service Support book identified the servicedesk as the lone function (group of people and thetools they use to carry out one or more processes oractivities). ITIL v3 now identifies three other functions inaddition to the service desk: Technology Management,IT Operations Management, and ApplicationManagement.

The Technology Management function provides thedetailed technical skills and resources needed to sup-port IT services and management, along with the ongo-ing operation of the IT Infrastructure. The IT OperationsManagement function is responsible for the daily oper-ational activities needed to manage IT services and theIT Infrastructure. It includes IT Operations Control andFacilities Management. The Application Managementfunction manages applications throughout their lifecy-cle.

SummaryThe key changes include: A consolidation of the libraryinto five books; the addition of 12 new processes andthree new functions; emphasis on service managementthrough the entire service lifecycle; and emphasis oncreating business value versus simply improving theexecution of processes.

Supplemental material will be released over time.Whether now is the right time to introduce the newversion into your organization or continue with the old



depends on the current state of the organization. Thatsaid, since most of the changes to ITIL v3 clarify andaugment the previous library, a good case could bemade to start using the new and refreshed library. �

This content was adapted from Internet.com's bITAPlanet, CIO Update, and ITSM Watch Web sites.Contributors: Jennifer Zaino, Mike Tainter, Martin Likier,Drew Robb, Augusto Perazzo, Glen Willis, and TroyDuMoulin



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TheITManager’s GuidetoITILv3 - IT Infrastructure Library (ITIL) at … · 2019-08-28 · ITIL Version 3 is All Business By Drew Robb Jup it er mag s IT Infrastructure Library (ITIL)