Syllabus Flashcards
Define Service
Facilitates outcomes that customer desire, without customers managing costs and risks.
A means of enabling value co-creation by facilitating outcomes that customers want to achieve, without the customer having to manage specific costs and risks.
Define Utility
The functionality offered by a product or service to meet a particular need. Utility can be summarized as ‘what the service does’ and can be used to determine whether a service is ‘fit for purpose’. To have utility, a service must either support the performance of the consumer or remove constraints from the consumer. Many services do both.
Define Warranty
Assurance that a product or service will meet agreed requirements. Warranty can be summarized as ‘how the service performs’ and can be used to determine whether a service is ‘fit for use’. Warranty often relates to service levels aligned with the needs of service consumers. This may be based on a formal agreement, or it may be a marketing message or brand image. Warranty typically addresses such areas as the availability of the service, its capacity, levels of security, and continuity. A service may be said to provide acceptable assurance, or ‘warranty’, if all defined and agreed conditions are met
Define Customer
The role that defines the requirements for a service and takes responsibility for the outcomes of service consumption.
Define User
The role that uses services.
Define Service Management
A set of specialized organizational capabilities for enabling value for customers in the form of services.
Service management is a set of specialized organizational capabilities for enabling value to customers in the form of services. It involves the coordination of people, processes, technology, and information to design, deliver, and manage services throughout their lifecycle. The goal of service management is to ensure that services are delivered efficiently and effectively to meet customer needs and achieve business objectives.
Define Sponsor
Funds Services
The role that authorizes budget for service consumption. Can also be used to describe an organization or individual that provides financial or other support for an initiative.
A sponsor is a person or group who authorizes the budget for the service. Sponsors have a vested interest in the successful delivery of the service and typically have the authority to make decisions regarding funding and resource allocation.
Describe the key concepts of creating value with services: Cost
Cost refers to the amount of money spent on delivering a service. Organizations need to manage and optimize costs to ensure that the value provided by the service outweighs the expenses incurred in its delivery. Cost optimization is essential to maintain profitability and cost-effectiveness while delivering valuable services.
Describe the key concepts of creating value with services: Value
Value = (benefites,usefuleness,importance) / cost
Value is the perceived benefit and importance that a customer assigns to a service. It’s not just about the functionality or features of the service (utility) but also the assurance that the service will perform as expected (warranty). Organizations must understand customer needs and expectations to design services that deliver value and fulfill customer requirements.
Describe the key concepts of creating value with services: Organization
One or more people with an objective
The organization plays a critical role in creating value with services. It encompasses the people, processes, and resources required to design, deliver, and support services. A well-structured and efficient organization ensures that services are managed effectively to provide value to customers.
Describe the key concepts of creating value with services: Outcome
An outcome is the result of a customer using a service. It is the effect of one or more outputs on the target audience or end-users. Outcomes are the desired results that customers seek to achieve by utilizing the service. Understanding customer outcomes helps organizations tailor their services to meet specific needs effectively.
Describe the key concepts of creating value with services: Output
An output is a tangible or intangible deliverable produced by a service/ACTIVITY. It represents what the service delivers to the customer. While outputs are essential, the true value of a service is determined by the outcomes they enable.
Describe the key concepts of creating value with services: Risk
event which could cause harm or loss
Risk refers to the potential for uncertain outcomes that could have a positive or negative impact on the achievement of objectives. Organizations must identify, assess, and manage risks related to their services to minimize adverse effects on value delivery and ensure continuous improvement.
Describe the key concepts of creating value with services: Utility
Functionality
As mentioned in a previous response, utility is one of the two components of service value. It refers to the functionality offered by a service, which meets the needs of the customer and enables them to perform their tasks. Utility represents what the service does and the features it provides.
Describe the key concepts of creating value with services: Warranty
Assurance
Warranty is the other component of service value. It refers to the assurance that a service will be available, reliable, and secure enough to deliver the agreed-upon levels of utility. Warranty represents how the service performs and the level of assurance it offers to the customer.
Describe the key concepts of service relationships:
Service Offering
-Goods
-Access to Resources
-Service Actions
A service offering is a formal description of one or more services that an organization makes available to its customers. It includes the utility and warranty of the service, defining what the service does (utility) and how it performs (warranty). The service offering provides essential information to customers about the services available, their features, and the value they deliver.
Describe the key concepts of service relationships:
Service Relationship Management
Service Relationship Management:
SPOC for Customers - Good Relationships
Service Relationship Management is the practice of establishing and nurturing relationships between service providers and customers. It involves understanding customer needs and expectations, identifying appropriate service offerings, and maintaining effective communication to ensure the services continue to meet customer requirements over time. The goal of Service Relationship Management is to foster positive relationships, enhance customer satisfaction, and co-create value through services.
Describe the key concepts of service relationships:
Service Provision
Service Provision refers to the activities and processes involved in delivering a service to customers. It includes the design, transition, and operation of services throughout their lifecycle. Service Provision ensures that the agreed-upon service offerings are delivered efficiently and effectively, meeting the defined utility and warranty levels.
Describe the key concepts of service relationships:
Service Consumption
Service Consumption is the act of customers utilizing or using the services provided to meet their needs and achieve desired outcomes. It involves the customers interacting with the service, leveraging its utility and warranty to accomplish specific tasks or objectives. Service providers must monitor service consumption and gather feedback to continuously improve service offerings and customer experiences.
Describe the nature, use and interaction of the guiding
principles
Nature of Guiding Principles:
The guiding principles are universal and can be applied to any organization, regardless of its size, industry, or culture. They are designed to help organizations align their ITSM practices with their business objectives, customer needs, and stakeholder expectations. The principles are intended to be adaptable and supportive, allowing organizations to customize their approach while staying consistent with the ITIL 4 framework’s core values.
Use of Guiding Principles:
The guiding principles serve as a foundation for decision-making and problem-solving within IT service management. They can be applied at all levels of the organization, from strategic planning to day-to-day operations. By following the guiding principles, organizations can enhance their service management capabilities, foster a service-oriented culture, and improve their ability to deliver value to customers.
Interaction of Guiding Principles:
While the guiding principles can be applied individually, they often interact and complement each other to create a cohesive and effective approach to service management. The interaction of these principles enables organizations to build a robust service management system, deliver valuable services, and drive continual improvement.
Explain the use of the guiding principles (4.3):
Focus on value (4.3.1 – 4.3.1.4)
All decisions and actions should be focused on delivering value to customers and stakeholders. The principle of “Focus on Value” influences other principles, guiding organizations to prioritize efforts and resources toward outcomes that matter most to customers.
Explain the use of the guiding principles (4.3):
Start where you are (4.3.2 – 4.3.2.3)
This principle recognizes that every organization is at a different point in its service management journey. It encourages organizations to build upon existing practices, leverage strengths, and improve incrementally rather than trying to implement a “one-size-fits-all” approach.
Progress iteratively with feedback (4.3.3 – 4.3.3.3)
Organizations should continuously improve by taking iterative steps and incorporating feedback from customers and stakeholders. This principle complements “Start Where You Are” by promoting an adaptive and responsive approach to improvement.
Collaborate and promote visibility (4.3.4 – 4.3.4.4)
Collaboration and transparency are essential to successful service management. When organizations collaborate and share information, they can make better decisions and ensure everyone is aligned with the common goal of delivering value.
Think and work holistically (4.3.5 – 4.3.5.1)
A holistic approach considers the entire service value chain, emphasizing the interconnectedness of various components within the organization. This principle encourages organizations to avoid siloed thinking and work together toward shared objectives.
Keep it simple and practical (4.3.6 – 4.3.6.3)
Simplicity is key to effective service management. Organizations should strive to simplify processes and avoid unnecessary complexities. This principle reinforces the idea of practicality and efficiency in all aspects of service management.
Optimize and automate (4.3.7 – 4.3.7.3)
Optimizing processes and automating repetitive tasks can improve efficiency, reduce errors, and free up resources for more value-adding activities. This principle complements the other principles by helping organizations work smarter, not harder.
What are the 7 Guiding Principles?
a) Focus on value
b) Start where you are
c) Progress iteratively with feedback
d) Collaborate and promote visibility
e) Think and work holistically
f) Keep it simple and practical
g) Optimize and automate
What are the Four Dimensions of Service Management?
a) Organizations and people (3.1)(Roles & Responsibilities)
b) Information and technology (3.2)
c) Partners and suppliers (3.3)
d) Value streams and processes (3.4-3.4.2)(Specified tetailed Activies & General Activities)
Organizations and people (3.1)
This dimension focuses on the structure, culture, and capabilities of the organization and the individuals involved in service management. It includes the roles, responsibilities, and competencies of staff members, as well as the ways in which teams and departments collaborate to deliver services. Organizations must consider factors such as leadership, skills development, communication, and the overall culture to enable successful service management.