Service Management

Question 1

Service Management

Answer 1

A set of specialized organization capabilities for enabling value to customers in the form of services.

Question 2

To what does “organizational capabilities” refer?

Answer 2

Having both the capacity AND the ability to perform the functions required

Question 3

Value

Answer 3

The perceived benefits, usefulness, and importance of something (something used here as the generic catch all for possible services)

Value is based on the recipient’s perception.

Question 4

Organization

Answer 4

A person or a group of people that has its own functions, responsibilities, and relationships to achieve its objectives. People are organized around common goals within a larger business organization to achieve common objectives in a coordinated method.

Question 5

Service Provider

Answer 5

A role performed by an organization in a service relationship to provide services to consumers

Question 6

Service Consumer

Answer 6

A role performed by an organization in a relationship that uses or consumes those services

Question 7

User

Answer 7

A person who uses or consumes a service

Question 8

Customer

Answer 8

A person who defines the requirements for a service and takes responsibility for the outcomes of service consumption

Question 9

Sponsor

Answer 9

A person who authorizes the budget for service consumption

Question 10

Employees

Answer 10

People who work for the organization and who are responsible for delivering and supporting the services

Question 11

Stakeholders

Answer 11

People who have an interest in the services provided by the organization, but who are not directly involved in the delivery or consumption of the services

Question 12

Service

Answer 12

Means of enabling value co-creation by facilitating outcomes that customer want to achieve, without the customer having to manage specific costs and risks

Question 13

Product

Answer 13

Configuration of resources created by the organization that will be potentially valuable for its customers… like a collection of services that, when put together, can add more value than those services can individually. A product is how an organization configures resources into an offer.

Question 14

Service Offering

Answer 14

A description of one or more services designed to address the needs of a target consumer group. They can include goods, access to resources, and service actions. They can be group and sell those different products and services multiple times in multiple different ways, depending on the consumer we are trying to reach.

Question 15

Service Relationship

Answer 15

A cooperation between a service provider and service consumer including service provision, service consumption, and service relationship management

Question 16

Goods

Answer 16

Things that are transferred from the service provider to the consumer, and then the consumer is responsible for their future use.

Question 17

Access to Resources

Answer 17

Access to resources are granted or licensed to a consumer under agreed terms and conditions

Question 18

Services Actions

Answer 18

Actions performed to address a consumer’s needs

Question 19

Service Provision

Answer 19

The activities performed by an organization to provide the services- goods, access or actions- as well as conducting Service Level Management and performing Continual Improvement.

Question 20

Service Consumption

Answer 20

The activities performed by an organization to consume the services, such as using the service and Service Management (paying the bills every month)

Question 21

Service Relationship Management

Answer 21

The activities that the service provider and the service consumer do together o enable value co-creation upon the service offerings. Simple example is customer paying bill on time, and service provider not canceling the offering, or, a service provider notifying a service consumer about an impactful server upgrade in the future.

Question 22

Service Relationship Model

Answer 22

This describes the interactions between the various parties involved in providing and consuming services.

An organization might be both a service provider and a service consumer at the same time.

Question 23

Outcomes

Answer 23

A result for a stakeholder, enabled by one or more outputs.

Important to note that this is focused on the customer’s desired outcome, not the service providers.

Outcomes influence the balance between supported outcomes, the removal of costs and the removal of risks

Question 24

Output

Answer 24

A tangible or intangible deliverable of an activity.

Services facilitate outcomes through one or more outputs.

You should care more about the outcome than the output.

Question 25

Outcomes

Answer 25

Achieve results. You should care more about the outcome than the output.

Question 26

Costs

Answer 26

The amount of money spent on a specific activity or resource. It can be expressed financially, but non-financially as well, such as person-hours or FTEs.

Question 27

What is the purpose of a service provider and why would someone want to ensure that outsourced services provide more value than they cost?

Answer 27

A service provider aims to reduce or remove costs (financial and/or non-financial) for the consumer when providing a service. If you are going to outsource a service, you want to ensure it is giving you more value than what it is costing you.

Question 28

Risk

Answer 28

A possible event that could cause harm, loss, or make it more difficult to achieve objectives. Essentially, it is any possible event that could impact our ability to co-create that value through our services.

From a Service Provider perspective, the goal is to minimize risk to the Service Consumer, and in this way, risks are similar to costs.

Question 29

Risk: Avoided

Answer 29

Risk avoidance involves removing risk from the service

Question 30

Risk: Accepted

Answer 30

Risk acceptance involves accepting the risk when the risk or cost is considered low

Question 31

Risk: Transferred

Answer 31

Risk transfer is often used when you insure against a risk

Question 32

Risk: Mitigated

Answer 32

Risk mitigation is used when you implement technology or processes to reduce the risk

Question 33

Utility

Answer 33

Functionality offered by a product or service to meet a particular need, what the product or service “does”

Utility is referred to as “fit for purpose”

Question 34

Warranty

Answer 34

Assurance that a product or service will meet agreed requirements, how a product or service “performs”

Warranty is referred to as “fit for use”

Question 35

Warranty requires that a service has defined and agreed-upon conditions that are met. It addresses areas such as:

Answer 35

• Availability
  
  • Capacity
  • Security Levels
  • Continuity