SESSION 603Tuesday, October 21, 2:45 PM ‐ 3:45 PM

Track: The Beginner's View

  Driving IT Transformation with ITIL and ITSM   Andrea Lipo Manager, ITSM, Salt River Project andrea.lipo@srpnet.com     

     Session Description  

ITSM  is  the  key  to  IT  transformation.  In  this  session, Andrea  Lipo will present  a  case  study on how  Salt River Project, despite cultural resistance to change, started its journey to ITIL‐topia. Looking at ITSM holistically, Andrea will  identify the business drivers and decisions that  led to the creation of SRPs  ITSM  improvement program, the lessons they learned and how those lessons have affected the journey, and the success factors that have led SRP from process  implementation  to operational best practices. Attendees will  leave  the  session with a number of practical takeaways,  including a sample  ITSM organizational structure and a recommendation for a process road map.  

Speaker Background   Andrea Lipo is the ITSM manager at Salt River Project, where she facilitates IT transformation by leading the implementation, management, and continuous improvement of ITSM. Over the past eighteen years, she has held various roles in IT and business, and she has extensive expertise in ITSM, business process management, and customer relationships. Andrea received her MS in information management from Arizona State University, and she is a certified ITIL Expert. 

Driving IT Transformation with ITIL and ITSM

SRP’s Service Management Journey Andrea Lipo, Manager of IT Service Management

October, 2014

ITIL® and the Swirl logo™ are registered trademarks of AXELOS Limited

Phoenix

Flagstaff

Tucson

Chandler

Gilbert

Mesa Tempe

Glendale

Peoria

Miami

Globe Scottsdale

SRP electric

SRP resale - utility

SRP resale

Not served by SRP

SRP’s irrigated area

Salt River Project (SRP) 3rd largest public power utility

987,000 electric customers

2,900 sq miles of service territory

90% Residential + 10% C&I

Delivering water to agriculture and cities in metro Phoenix

20 JD Power Awards

“Highest in Customer Satisfaction among Large Utilities in the West, 12 years in a Row,” according to the J.D. Power 2013 Electric Utility Residential Customer Satisfaction StudySM.

Topics • Why ITIL® and IT Service Management

• ITSM Success Factors

• Getting Started

• Lessons Learned

• Rebalancing of Effort

• Team Structure

• Questions

ITIL© is a registered trade mark of AXELOS Limited. AXELOS® is a registered trade mark of AXELOS Limited.

Why ITIL?

• We aren’t “Implementing ITIL” we are adopting ITIL: a new way of thinking, understanding and operating.

– Create measurable improvements in how we work in ITS

– Remove duplication and provide consistency across work

– Create a common language used by the business and ITS

– Be accountable for job performance

– Focus on prioritized work

– Create a method for continual improvement

– Provide value in the work IT performs

ITIL© is a registered trade mark of AXELOS Limited.

Program Urgency and Kotter’s 8 Steps

Image: addedvalueweb.com

SRP Confidential

Pink Survey - Success Factors

Program Urgency

Program Vision

Program Strategy

ITSM Education

Program Communication

Availability of ITSM Tools

Program Momentum

SRP Confidential

ITSMi Program Vision and Goals

Implement the ITIL framework to enable the understanding of: • Roles and responsibilities, consistent and

repeatable processes, how we work together across ITS to deliver value.

Our Mission is to:

Significantly improve the Business’ experience in working with ITS by providing services that are;

• accessible, continually improving, high quality, consistent user experiences, easy to engage.

ITSMi Vision

GOALS

Understand

Align

Improve

Standardize

Process Maturity Framework

Managed

Initial Repeatable

Defined

Optimizing

LEVEL 1

LEVEL 2

LEVEL 3

LEVEL 4

LEVEL 5

Managed

We are

here

PinkSCAN Results* – 10 Processes All

Benchmark SRP Utilities

Benchmark

Change Management 2.13 1.8 2.04

Continual Service Improvement 1.77 0.57 N/A

Event Management 1.56 0.81 N/A

Incident Management 2.07 1.27 1.88

Problem Management 1.54 0.63 1.29

Release & Deployment 1.81 0.98 1.65

Request Fulfillment 1.96 0.88 N/A

Service Asset and Configuration Mgmt. 1.41 0.30 1.37

Service Catalog 1.43 0.46 N/A

Service Level Management 1.64 0.54 1.49

*Benchmark studies from 2011

Original Approach

AXELOS Limited ITIL Figure 1.2 Service Strategy 1.2.3

SERVICE STRATEGY • Service Strategy • Financial Management • Service Portfolio

Management • Demand Management

SERVICE OPERATION • Event Management • Incident Management • Request Fulfillment • Problem Management • Access Management

Functions • Service Desk • Technical Management • IT Operations Management • Application Management

SERVICE DESIGN • Service Catalog Management • Service Level Management • Capacity Management • Availability Management • IT Service Continuity

Management • Information Security

Management • Supplier Management

SERVICE TRANSITION • Transition Planning & Support • Change Management • Service Asset & Configuration

Management (SACM) • Release & Deployment

Management • Service Validation & Testing • Evaluation • Knowledge Management

CONTINUAL SERVICE IMPROVEMENT • Seven Step Improvement

SRP Confidential

AXELOS Limited ITIL© Crown copyright 2011. Reproduced under license from AXELOS Limited. Figure 1.2 Service Strategy 1.2.3

What did we learn? • ITIL isn’t prescriptive.

• Additional frameworks are needed (PMI, COBIT, ISO/IEC 20000, etc.).

• Organizational Change Management (OCM) is the hardest part.

• We need to be more efficient and effective.

• What is good enough - the 80/20 Rule.

• Data and analytics is critical to maturity.

• Remember the JOURNEY takes time…….

Program / Project Communication

• Portal ITSM Site

• Collaboration Project Team Sites

• Metrics

• Training

• Coaching, Information & Resources

Open access to all …

AXELOS Limited ITIL© Crown copyright 2011. Reproduced under license from AXELOS Limited. Figure 1.2 Service Strategy 1.2.3

ITSMi Education and Communication

Create a Series of Overviews & How To’s

ITIL© is a registered trade mark of AXELOS Limited.

ITSMi Tools

Original Approach (2005 – 2014)

Moving Forward (2013 +)

ITSMi Momentum

Program Momentum

• Identify Initiatives within corporate goals.

• Optimize use of resources.

• Maximize executive support through engagement.

• Plan for all levels strategic, operational and tactical.

• Rebalance and move forward.

Maturing our Processes

1. Establish

(Implement)

Process Foundation

2. Mature Effectiveness

(Quality)

Assess Achievement of Objectives

3. Mature Efficiency

(Performance)

Measure the Mix of

Resources

Continual Service Improvement - CSI

Maturing our Measurement

• Maturity Assessments:

– ISO/IEC 15504-3:2011

• Types of Metrics

– Strategic

– Service

– Process

– Technology

• Metric Perspectives

– Compliance

– Quality

– Performance

– Value

• Linking and Tracking Metrics

– Corporate Goals to Metrics

Original Approach SERVICE STRATEGY • Service Strategy • Financial Management • Service Portfolio

Management • Demand Management

SERVICE OPERATION • Event Management • Incident Management • Request Fulfillment • Problem Management • Access Management

Functions • Service Desk • Technical Management • IT Operations Management • Application Management

SERVICE DESIGN • Service Catalog Management • Service Level Management • Capacity Management • Availability Management • IT Service Continuity

Management • Information Security

Management • Supplier Management

SERVICE TRANSITION • Transition Planning & Support • Change Management • Service Asset & Configuration

Management (SACM) • Release & Deployment

Management • Service Validation & Testing • Evaluation • Knowledge Management

CONTINUAL SERVICE IMPROVEMENT • Seven Step Improvement

AXELOS Limited ITIL© Crown copyright 2011. Reproduced under license from AXELOS Limited. Figure 1.2 Service Strategy 1.2.3

Influencing the Machine

Running the IT Machine

Business / Customers

Service Design

Workload Mgmt.

Demand Mgmt.

Resource Mgmt.

Control Processes Change & Release

Resolution Processes: Incident, Event,

Request

Service Level Mgmt.

Performance Mgmt.

SRP Confidential

Model

Regroup and Move Forward

SERVICE STRATEGY • Service Strategy • Financial Management • Service Portfolio

Management • Demand Management

SERVICE OPERATION • Event Management • Incident Management • Request Fulfillment • Problem Management • Access Management

Functions • Service Desk • Technical Management • IT Operations Management • Application Management

SERVICE DESIGN • Service Catalog Management • Service Level Management • Capacity Management • Availability Management • IT Service Continuity

Management • Information Security

Management • Supplier Management

SERVICE TRANSITION • Transition Planning & Support • Change Management • Service Asset & Configuration

Management (SACM) • Release & Deployment

Management • Service Validation & Testing • Change Evaluation • Knowledge Management

CONTINUAL SERVICE IMPROVEMENT

• Seven Step Improvement

AXELOS Limited ITIL© Crown copyright 2011. Reproduced under license from AXELOS Limited. Figure 1.2 Service Strategy 1.2.3

ITS Work Management Model

Event

Incident

Problem

Request

Delivery

Operations

Project Execution Framework Change & Release

CSI

Ops

Need Initiation

Service Catalog

Demand: o Project o Support o Service Delivery

CSI

Portfolio Management

Assessment

Delivery

Demand

SACM

Time, Forecasts, Dashboard and Reporting

SRP

Confidential

Building the CMS

Service Asset & Configuration Management

Process Leadership

ITIL & Program Direction

• Champion • Program Strategy &

Execution • Program Success &

Benefit Realization • ITIL Guidance • Dissemination

Operational Direction

• Design Lead • Engagement &

Participation • Process Validation • Process Operations • Implementation • CSI Prioritization

ITSMi/ITSM Manager Process Managers

Executive Sponsor CIO

Strategic Direction

• Accountable • Prioritization • Decision Making • Breaks Down Barriers • Enforcement

Process Owners/ Steering Committee

Process Design Team

Process Leadership

SRP Confidential

Project Manager

Stakeholders

OCM

Core Team Process and

Technical

SME’s

How do I Apply This? – Ask yourself?

• Am I solving the problem I intended to?

• Do I have the right level of engagement?

• What are my success criteria?

• Is there something in this presentation that you are not doing? Why or why not?

– Identify the “golden nugget” as your takeaway

– Borrow without returning!

Thank you for attending this session.

Don’t forget to complete an evaluation form!