1. Client logo Midland ITSM

2. How can Midlands ITSM help? Infrastructure IT People IT Process Software Initiatives Infrastructure IT People IT Process Software Initiatives Revenue Cost Service quality and agility £ Time “Establish a cost-effective IT organisation capable of driving and supporting the ever-changing needs of your business”

3. How do we transform IT? SLA Service Provider Agreed Upon Cost Required Availability Required Performance Level SLA Strategic Source The drive for efficiency and cost saving Embrace or beat the outsourcers Transition to a world class service provider  Align IS with the Business Strategy  Implement an effective IS Operating Model  Adopt best practice Operational Techniques  Define an “Enterprise Architecture”  Quick win technology based projects  Communicate the IS Value to the business

4. Operational Dependencies People-bound, un-scalable and unable to embrace rate of change Balanced dependencies, more reliant on scaleable processes and supporting technology People Process Technology

5. The 4 stage IT Maturity Model Stage 1 – Take Control Establishing essential control processes of the IT organisation and environment. Stage 1 – Take Control Establishing essential control processes of the IT organisation and environment. Stage 2 – Be Proactive Defined service management processes, managed environments, measured performance, centralised and rationalised technology. Stage 2 – Be Proactive Defined service management processes, managed environments, measured performance, centralised and rationalised technology. Stage 3 – Service Focused IT focused on service to the business, measured and accountable. Responsive and valued partner to the business Stage 3 – Service Focused IT focused on service to the business, measured and accountable. Responsive and valued partner to the business Stage 4 – Aligned IT Business demand based, mature end-to-end services, agile technology and organisation, varied sourcing models Stage 4 – Aligned IT Business demand based, mature end-to-end services, agile technology and organisation, varied sourcing models

6. Dynamic optimisation Aligned IT Rationalised, pooled resources Service Focused Resource consolidation Be Proactive Controlled Infrastructure\ Take Control Data Centre &Infrastructure Strategy Service Measurement Service ProcessMaturity FinancialManagement Organisation Model Governance Reduced fixed costs Measurement of Service Performance Federated Technology aligned - Central Control – In house/Service provider resources Defined proactive core Service Management processes – Service Resolution Mgt Centralised standardised, rationalised, virtualised and managed with Systems Tools - Thin Client - Automatic Software distribution Policy based IT Services framework, defined relationship management – compliance policies Service based costs Service catalogue, Application or business process SLA’s agreed with business Federated Service aligned Centrally controlled – In- house/Service provider resources Mature Service Management processes, now encompassing Capacity, Availability etc.. SIP, KPI reporting Capacity and Availability known and planned Role based delivery, of applications, policy driven, web delivery, Portal and Self Service Service based IT Services framework - agreed in advance - compliance monitoring and auditing Demand based costs Flexible SLA’s focused on changing business requirements Federated Business aligned – in-house centralised resources – parent led Mature end-to-end processes Capacity and Availability on demand - Web Services, Service orientated architecture Business and Services driven governance framework - compliance monitoring and auditing Ad hoc, fixed costs Limited SLA’s covering Operational Service only Distributed – by brand & Geography – Resources In house Implement critical control processes to establish control Technologies to be identified and managed Fat Client -3 Tier Limited structured policy or controls – Budget based - compliance identification The 4 stage IT Maturity Model

7. Stage 1 – Take Control

8. Programme Structure Programme Identification Programme Definition Programme Execution Benefits Realisation Programme Identification Brief Programme Definition Statement Identify Vision Identify Benefits (+/- 20%) Investment Plan Identify Improvement Projects Strategy & Principles Operational Process Models Identify Benefits (+/- 5%) Selection and Transition Appr. Organisation Structure Communication Plan Organisation Transition Process Development Automation Technologies P1 P2 P3 P5 P4 P6 Benefits Review Report P7 Storage Management Application Integration Consolidation Knowledge Management … Architecture Blueprint

9. Implement an effective IS Operating Model  Operational Reference Model  Logical Process Structure  Functional Responsibilities  Engagement Models  Process Architecture  Roles and Responsibilities  Physical Model  Organisational Structure based on reference model  Selection and transition approach  Management hierarchy and reporting lines Service Development & Deployment Business - IT Alignment Service Operations Service Design & Management Business Assessment Customer Management SD Strategy Development Service Planning Service Level Management Capacity Management Cost Management Availability Management Contingency Planning Change Management Configuration Management Build & Test Release to Production Operations Management Incident Management Problem Management Service Desk

10. Current Dec 2006 Consolidated Dispersed Diverse Standard Efficiency Platforms Quantity of Systems Good utilisation, support resources spread thinly Poor utilisation, good economies of scale of support resources Good utilisation, good economies of scale of support resources Technology Rationalisation Today3 years Data Centres75? Platforms?? Systems350+? People??

11. Adopt Best Practice Operational Techniques Technologies tied to process ‘Process-Enabling’ technologies Process A Process C Process B Process D Process E Process n Traditional ‘point’ solutions Many "disconnected" technologies No Process Linkages Reduced Cost Improved Service Demonstrable Value

12. Pragmatic and Modular Service Management  Process Maturity Assessment  Identification of requirements  Pragmatic ITIL not “textbook”  Process Design Workshops  Solution Design – Tool and Process  Implementation - Modular Service Management accelerators  We do it “with you” not “to you”

13. Enterprise Management Network Desktops Systems Operational Apps Storage Database Application Servers Presentation Business Process Security Business Service View Technology Silo Management (point solutions) Integrated Enterprise Management 1 2 Service Views of the Enterprise systems 3 Customer Experience Management Business Process Management 4 5

14.  Outcome  We transformed Customer’s Service Delivery function, streamlining processes and reducing costs to create a service-orientated organisation  The ITIL processes focused initially on Incident, Configuration and Change Management enabling the IT Organisation to “Take Control” of the IT services  Key Benefits  Critical Business Service downtime reduced by 30%  Improved the service delivery function’s engagement with the business  Reduced costs by over £12 million p.a. “Consulting have brought vision and drive to the project and we’ve developed a close working relationship. With it’s expertise, resource and flexibility, Consulting have given us the opportunity to step outside our day-to-to-day processes and take a fresh look at how we can improve our service delivery organisation” Service Delivery Strategy and Delivery Manager

15.  Global Service Desk project  Underpinned TNT’s commitment to a global process driven IT Service Management  Consulting was selected as the implementation partner and technology provider because of our strong capability and proven success in service management delivery aligned with core ITIL processes “This highly ambitious project was managed on time and within budget, the implementation was a 100% success” Global Support Manager  Consulting :  Key cultural changes  Implemented initial process design workshops  Programme of briefings, training and communication to ensure users understood the new tools  Complete set of documented instructions delineating what is expected of each user at every point in the process

16.  Outcome  Global Service Desk to underpin Customer’s Global common systems.  Integrated Configuration, Change, Incident and Problem Management processes underpinned integrated toolset  Consistent levels of service delivered via a standardised set of support processes  Key Benefits:  External service calls dropped from over 3000 to 2500/week  Faster Incident resolution  Abandoned calls reduced from 100 per day to just 12  The ability to control change has reduced incidents  The ability to implement a ‘follow the sun’ support approach “I look back on this project with a momentous sense of achievement and pride, we managed to achieve a partnership with Consulting that really worked – they became part of our family for the year that they worked with us. Consulting has been a huge strength and honestly, the most satisfying supplier I have dealt with in the last 30 years. ” Global Support Manager

17. Client logo Spare Slides

18. Communicate the IS Value to the Business  Change the perception of IS:  Value for money  Business innovation  Business process measures  Improve the value of IS:  Improve ability to serve business units  Proactively manage the IT portfolio  Enhance key business relationships Communicate to the Business about IS’s contribution and capability Communicate inward to direct and manage IT performance IS Management Information

19. Client logo Case Study

20. The need for change Spend TacticalManaged Approach ReactiveProactive Focus Component Service Focus User Customer Accountability Best Effort Measured Business Led TechBusiness Process Ad HocStreamlined Delivery In House Smart Sourced Strategy Fragmented Integrated Operation Manual Auto

21. Perception Customer IS Service Delivery have recognised that the Brand Units perception of IS as a whole is not favourable in terms of:  The efficiency of interaction with the business  The cost of service provision  The ability to support major business change such as acquisitions and major application developments  The responsiveness and flexibility of the Service Delivery organisation  The insular and fragmented approach to Service Delivery.

22. Service Delivery Goal  We do this through: A clearly defined and agreed service strategy and service model Knowledge of our roles and the value we bring to the delivery chain A clear understanding of our Service Capability & risk register A roadmap for introducing service improvements Unified Processes and common objectives Realistic and achievable Operational Level Agreements, which underpin the business SLA Coherent and consistent Management Information Service Delivery Strategy 2002  As a service delivery Management team for IS, we work as a team in a collaborative approach to deliver certainty of service for the Customer brands. Goal

23. Statement of Intent  By the end of 2003, Customer IS Service Delivery will:  Revolutionise our culture to be service and customer focused  Have driven through quality improvements to significantly increase service availability  Provide innovation and thought leadership to support the business units and drive incremental revenue and profit  Measure and report our improvements  Communicate effectively with our business, our peers and our people  Drive down cost of service provision through improved efficiencies to provide justifiable value for money services  Respond and adapt to business requests in a timely, reliable, flexible and professional manner  Be held accountable for availability, performance and cost  Unify delivery team with vision, approach and goals  Beat the outsource competition

24. Business Unit Ideals Align IS with the Business Strategy Business Strategy IS Objectives IS Strategy Business Unit Ideals IS Principles IS Implications Goals and Ambitions Strategy & Direction Vision statements Objectives and Measures Futures roadmap Realisation Plan Operational Framework Values Enterprise Architecture Strategic Smart Sourcing Commercial Management

25. Business Service Networks, Applications, Internet, Systems, Databases Change & Release Management Incident Management Problem Management Availability Management Service Level Management Capacity Management Business Continuity Cost Management Consulting Service Management Configuration Management Business Manager Business User Monitor and Manage Service Management Enterprise Management

26. Consulting Support Deliverables Requirements Spec Design Spec High Level Process Flows Roles definition Responsibilities Definition Code Tables Configured Software Detailed Work Instructions Pilot System Complete Rollout Support Phase Initiate Phase Design Phase Implement Phase Pilot Phase Transition Phase Phase Service Management Project approach Business Objectives Prototype Solution Proof of Concept Service Level Objectives Full Implementation Rollout of Solution Support Solution Roles and Responsibilities Configuration Management Review Change Management Organisational Processes Service Level Management Help Desk Problem Management Incident Management Release Management Availability Management IT Service Continuity Management Financial Management for IT Services Capacity Management Processes Enabling Technologies

27. Stage 2 – Be Proactive

28. Stage 3 – Service Focused

29. Stage 4 – Aligned IT

30. Maturity Assessment

31. Gartner Global Governance Pressures for local responsiveness Pressures for global integration High Low CentralizedFederated Parent-ledMulti-local Emphasizes consistent product and customer experience Maximizes synergies Emphasizes global efficiency, flexibility and learning capacity Maximizes synergies that relate to competitive strategy Emphasizes worldwide diffusion of parent practices Identifies specific product, process and customer synergies Emphasizes strong local bases and local autonomy Foregoes synergies Strategic focusBusiness configuration Decentralizes assets, aiming for local self-sufficiency Centralizes strategic assets, decentralizes others Centralizes assets and capabilities Decentralizes most assets, with core capabilities led centrally

32. Proposed Model Change Management Configuration Management Business - IT Alignment Service Operations Service Design & Management Service Development & Deployment Understand the business requirements to gain optimal IT strategy Translate IT strategy into planned IT services Manage Service Levels Continuous Improvement Cycle Primary interface with service customers for service delivery On-going monitoring, running and maintenance of the IT environment Command and control for the production environment Develop, test and deploy according to service definition and requirements

33. Proposed Model Service Development & Deployment Business - IT Alignment Service Operations Service Design & Management Business Assessment Customer Management SD Strategy Development Service Planning Service Level Management Capacity Management Cost Management Availability Management Contingency Planning Change Management Configuration Management Build & Test Release to Production Operations Management Incident Management Problem Management Service Desk Service Ownership

34. Service Development & Deployment Business - IT Alignment Service Operations Service Design & Management Business Assessment Quantify customer requirements Match against delivery capabilities Manage expectations at P.O.S Doc requirements & milestones Business dependencies Availability and continuity requirements & priorities KPI & metric setting Selling cost vs benefits Manage risk Customer Management Service attainment review Change planning Outage scheduling Forecasting Service Improvement KPI & metric setting SD Strategy Development Formulate IT principles Define policies & standards Determine IT capability Define technical architecture Define IT process models Define IT organisation model Service Planning Define service requirements Define new services Financial Planning Define & model service data Define IT capabilities Benchmarking Gap analysis Service Level Management Maintain service catalogue Establish service level reqs Conduct improvement projects Negotiate & doc service levels Service level monitoring & reporting Contingency Planning Security design Risk analysis and mgmnt IT recovery plans Crisis management Perform tests and reviews Availability Management Monitoring and reporting Collect, analyse and maintain availability data Ensure Service levels met Manage planned downtime Identify degrading levels of service Capacity Management Performance analysis Identify capacity reqs Size proposed systems Performance testing Predict future IT demand Recommend tuning Performance against SLA Cost Management Service Costing Control IT budget Cost recovery TCO reporting Financial asset management Cost forecasting Configuration Management Identify CIs Control and track CI data Define attributes and relationships Status accounting and verification Change Management Request for change processing Change & scheduling co-ordination Impact assessment Change approval Backout plans and testing Incident Management Incident classification Match against problems and known errors Restore service through fastest means Feedback information to Service Desk Incident ownership Build & Test Development project mgmnt Risk management Develop infrastructure Functional testing Training & recovery planning H/W & S/W staging Application development Release to Production Manage expectations of releases and rollouts Production build and integration Distribution Customer acceptance testing Training Quality assurance Service Desk Customer interface Single point of contact Initial impact assessment Monitor and escalate according to agreed service levels Call tracking and routing Support changes across the business Interface to 3 rd parties Operations Management Performance monitoring and tuning Security access and control Event detection and notification Preventative maintenance Production scheduling and processing Storage management Backup management Database administration Problem Management Problem Control Proactive prevention of incidents Incident root cause analysis Known error control Communicate and maintain awareness of known errors Functional Responsibilities

35. Generic Organisational Structure

36. Technology Services – 3 Macro Processes

37. Level 0 – Logical Operating Model

38. Level 1 – Logical Process Model