INTRODUCTION TO IT SERVICE MANAGEMENT

Service Management is a set of specialised organisational capabilities for delivering value to customers through services. Let’s take a minute and think about what value is and what is service.

Get closer than ever to your customers. So close that you tell them what they need well before they realize it themselves. - Steve Jobs

So let’s discuss what service is. ITIL defines the service as a means to facilitate business outcomes a customer wishes to achieve without them having to assume specific risks and costs. However, some of the specific costs and risks are transferred to the service provider. So customer enjoys the benefits of specific service by transferring risks, reduction in the cost of service by economies of scale and customer not necessary to own certain organisational capabilities to derive all the benefits of the service

Let’s discuss some example of a service

We use mobile 📱 in everyday life activities. We send SMS, we capture videos and send videos, we call and receive voice calls. I doubt anybody has a real understanding of all the capabilities of the mobile phone company. 

So what are the business outcomes?

  • We can communicate long distances on mere real-time without the use of wired telephone

What specific cost and risks customer avoid?

  • If I were required to erect cell towers and provide cell communication, I would take probably a long time and possibly may not.

I am happy to pay all my mobile bills and receive service to achieve my business outcomes without owning the specific cost and risks. Therefore mobile phone company meets the definition of the service.

Another example is an Electric Company

If you see the above example of Electric Company, I am happy to pay the electric company and to achieve my business outcome without owning specific cost and risks. Therefore Electric Company meets the definition of the service.

Now I will talk about how Customers Perceive Value

Customer preferences are diverse and drive a lot of value from a perception point of view for a similar or competitive service having the same business objectives. Value has some specific meaning and, from ITIL perspective value consists of both Utility and Warranty

The ITIL framework is around mixing the Utility and Warranty Combinations for a customer to meet the outcomes they wish to facilitate the business outcomes with the preferences they desire.

I will cover all these in details in my later blogs. So stay tuned.

CONCLUSION

In a nutshell, ITIL is a set of Best Practices for Delivering IT Service Management

The holistic approach to manage service through a lifecycle, from inception to retirement

ITIL is set of Five Core Publications. They are

Service Strategy

Service Design

Service Transition

Service Operations and

Continual Service Improvements

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