Module 3 - Service Strategy Flashcards
What is the purpose of the “Service Strategy” phase
understanding the needs and requirements of the business processes that are underpinned by IT services and then determining the best way to provision the services in order to meet the needs effectively
Define the following Term of Interest: Warranty
This refers to the usability of a service or application from a customer perspective. Including things such as availability, capacity, continuity, and security needs
Define the following Term of Interest: Utility
This refers to the functionality of a service from a technical perspective. It includes things such as ownership costs, risk, and outcomes desired and supported.
What do a combination of Warranty and Utility Provide?
Value to the business
What is an Open-Loop system
this is a system that performs an activity regardless of environment conditions, i.e. Backup scheduled
What is a Closed-Loop system
This is a system that monitors an environment and responds to changes as appropriate, i.e. load balancing
What are triggers
A trigger is an even that launches a process, i.e. a call to the service desk begins the incident management process. Triggers are key to launching closed-loop system activities.
What do the following qualities describe:
- Fit for purpose
- What the service does
- What the customer receives
- Attributes that deliver a positive effect
- Increase of possible gains due to assets
- Ensures outcome (quality)
Utility
What do the following qualities describe:
- Fit for use
- How the service does it
- How the customer receives it
- Assurance that a positive effect is delivered
- Decrease in possible losses due to performance
- Ensure availability (certainty)
Warranty
What are the three Service Provider Types
- Type 1 - Internal Service Provider
- typically embedded within the business units they serve.
- They understand a particular business units and have specialized offerings for that partner
- Type 2 - Shared Services (Internal)
- Internal functions (finance, IT, human resources, etc.) are not always the core for an organization’s competitive advantage, therefore, are often in a shared services unit that services multiple units
- Type 3 - External Service Provider
- external providers providing higher levels of knowledge, experience, capabilities, or resources necessary for an organization to achieve it’s strategies
What are the five Service Strategy Processes
- Strategy Management for IT Services (not covered in this course)
- Financial Management for IT Services
- Service Portfolio Management
- Demand Management (not testable)
- Business Relationship Management
What is the purpose of Financial Management for IT services
To secure the appropriate level of funding to design, develop, and deliver services that meet the strategy of the organization
Where is financial management typically located in an organization
Often a seperate function either reporting to the CIO or the chief financial officer (CFO) but with some form of functional reporting between the two areas
What are the three main processes for Financial Management in IT?
- Budgeting
- the process of predicting and controlling the income and expenditure of money within the organization
- the periodic negotiating cycle (usually annual) and monthly monitoring of current budgets
- Accounting
- Track spending by service/activity using systems such as ledgers charts of accounts, journals…
- Charging
- method of billing customers for services
Define the following examples of business value measures:
Time to Market
Customer Retention
Inventory Carrying Cost
Market Share
Time to Market - Does this give the business a head start on competition?
Customer Retention - Not only are customers gained, are they retained?
Inventory Carrying Cost - Does the service positively impact inventory?
Market Share - Does the service help cement or gain new market share?
