Summary ITIL Intermediate Qualification: Service Offerings and Agreements

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Summary - ITIL Intermediate Qualification: Service Offerings and Agreements

  • 1.1 The ITIL framework and the service lifecycle

  • ITIL:

    A series of books describing a best practice framework for the provision of quality IT services.

    Aimed at implementing, maintaining and improving high-quality, cost-effective IT services.

  • 1.2 Functions, processes and roles

  • Function?

    A team or group of people and the tools or other resources they use to carry out one or more processes and activities. Provides structure and stability to organizations.

  • Process?

    A structured set of activities that achieve a specific objective.

  • Role?

    Defined in a process or function. Comprise a set of responsibilities, activities and authorities granted to a person or team.

  • 1.2.1 Key Role Definitions

  • Key role definitions


    Service owner

    - accountable for the delivery of a specific service

    - represents the service across the organization and identifies opportunities for service improvement


    Process owner

    - accountable for ensuring the process is "fit for purpose"

    - defines appropriate policies and identifies opportunities for improvement of the process


    Process manager

    - concerned with the operational management of a process and identifying opportunities for improvements to the process implementation

    - one process may have several process managers


    Process practitioner

    - carries out one or more process activities

    - may be many of these in one organization

  • Organizational Context

  • When designing a service or process, all roles should be clearly defined to enable fast and effective decision making.


    This can be done using a RACI authority matrix to:

    - Clarify operational roles, responsibilities and relationships

    - Define levels of accountability

    - Coordinate participation in every business activity


    This will help to:

    - Agree what activites need to be done

    - Define and agree accountabilities

    - Improve communication

    - Avoid duplication of effort

    - Get jobs done, properly, on time

    - Avoid blame culture

  • What does RACI stands for?

    Responsible, Accountable, Consulted, Informed

  • 1.3 Services and value proposition

  • What is a "service"?

    A means of delivering value to customers by facilitating outcomes that customers wants to achieve, without the ownership of specific costs and risks.

  • Service management is a set of specialized organizational capabilities for providing value to customers in the form of services.


    A service has:

    - customer(s)

    - a provider

    - delivers value

    - enhances performance or reduces constraints

    - increases the probility of achieving desired outcomes

  • 1.4 Utility, warranty, resources and capabilities

  • Utility?

    Fit for purpose?

  • Warranty?

    Fit for use?

  • Utility is defined in terms of business outcomes that customer expect the service to support and the constraints it will remove.

    This utility is in the form of enhancing or enabling the performance of the customer assets and contributing to the realization of business outcomes.


    - performance supported?

    - constraints removed?

  • Warranty is an assurance that some product or service will be provided or meet certain specifications.

    - available enough?

    - capacity enough?


    -continous enough?

    - secure enough?

  • Two types of assets?

    - Resources, direct inputs for production (Fin. capital, infrastructure, applications, information, people)

    - Capabilities, ability to use resources to produce value (Management, organization, processes, knowledge, skills)

  • Resources and capabilities are both service assets used to create value in the form of goods and services.

    Resources need capabilities to use the available resources to develop distinctive valuu-adding services.

    Capabilities cannot produce value without adequate resources.

    It is usually easier to acquire resources than capabilities.

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What is Business Relationship Management?

To establish and maintain a business relationship between the service provider and the customer based on understanding the customer and its changing business needs and expectations.


Business relationship management also assists the business in articulating the value of a service.

What is Supplier Management about?

To obtain value for money from suppliers and to provide seamless quality of IT service to the business by ensuring that all contracts and agreements with suppliers support the needs of the business and that all suppliers meet their contractual commitments.

What is an OLA?

An (operational) agreement between an IT service provider and another part of the same organization that assists with the provision of services (e.g. facility dep. maintaining HVAC, or network support team)

What is a SLA?

A written agreement between an IT service provider and the IT customer(s), defining the key service targets and responsibilities of both parties (RACI can be used)

What is Service Level Management about?

To ensure that all current and planned IT services are delivered to agreed achievable targets, accomplished through a constant cycle of negotiating, agreeing, monitoring, reporting on, and reviewing IT service targets and achievements, and through instigation of actions to correct or improve the level of service delivered.

Which types of Cost Clarifications are there?

Capital or Operational

Direct or Indirect

Fixed or Variable

What is a Cost Model?

A framework that allows the service provider to determine the costs of providing services and ensure that they are allocated correctly

Name the 3 types of funding models
  1. Rolling plan - constant cycle of funding
  2. Trigger based - for example, change management
  3. Zerobased - Funding actual costs of IT to bring the balance of the IT center back to -0-.
What is funding?

The sourcing and allocation of money for a specific purpose or project within the service management lifecycle

Where does Financial Management for IT Services stand for?

To secure the appropriate level of funding to design, develop, and deliver services that meet the strategy of the organization