ITIL v3 Business Relationship Management Overview

December 2013
Dartview Consulting Limited 1

• BRM was formally introduced into the ITIL Framework in 2011
as part of the update to v3
• The BRM process is defined as part of the Service Strategy
stage of the Service Lifecycle
• In practical terms, the role is exercised throughout the whole
Service Lifecycle
Where does BRM fit within the ITIL Framework
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• To look to the future and anticipate potential for change
Identify changes to the Customer’s business environment that have a
potential impact on the services and service levels required to meet
business needs
Identify technologic advancements and trends that could be used to
improve existing services and form the basis of new ones
• Ensure that the Service Provider is meeting the business needs of
the Customer, and provide arbitration where there is dispute
• Establish formal compliant and escalation processes for the
Customer and ensure lessons are learnt (by both parties) from
Customer Satisfaction exercises
Objectives of BRM

• BRM is responsible for the creation and maintenance of the
Customer Portfolio
A database or spreadsheet that is used to record the details of all
Customers of the Service Provider
The Service Provider’s view of all Customers who receive services from
them
Used as a verification tool by the Service Desk
Maintain the Customer Relationship

• Strategic Alignment

• Establishing a conduit for information flow is crucial to
successfully maintaining the alignment:
Potential changes to Customer needs and/or the market in which the
Customer operates, must be conveyed to and understood by the Service
Provider
Changes to service offering being consider by the Service Provider must
be conveyed to it’s Customer Portfolio, and such changes considered in
the light of the impact on Customers business needs

• Service Level Requirements
• Existing, New or Changed Services
Identify Service Requirements

Promote use of Standard Services

• BRM need to establish and maintain a Communications Plan
with the Customer that forms the central tool for managing
the relationship. Typical contents would include:
Frequency of meetings
Format of meetings
Frequency of reporting
Format, content and distribution of reports
Frequency of Customer Satisfaction Surveys
Method of communication with each stakeholder
Communications Plan

Customer Complaints Process

• The value of a service to the Customer is defined using the
concept of Utility and Warranty
• Utility is ‘what the customer gets’ and reflects whether or not
a service is ‘fit for purpose’
• Warranty is ‘how it is delivered’ and reflects whether or not a
service is ‘fit for use’
• Both must be true in order for a service to create value to the
Customer
Value of a Service

• Value Chain: A sequence of processes that creates a product
or service that is of value to the Customer, with each step of
the sequence building on the previous step, contributing to
the overall product or service
Value Network: A complex set of relationships between two
or more organisations. Value is generated through exchange
of knowledge, information, goods or services, and does not
necessarily have to be monetary in nature
It is the responsibility of BRM to establish and maintain both
of the above
Value of a Service

• Ensures that the Service Provider doesn't waste money with
excess capacity
• Ensures that the Service Provider has enough capacity to
meet demand at agreed quality
• Service Provider can actively influence demand by:
Charging different costs for use of services at different times of the
day/month/year
Applying Capping (e.g. Mailbox sizes)
Managing Service Demand

• BRM plays a key role in identifying what will be
reported to the Customer, and what the Customer
will be expected to do with the reports they receive
• BRM should use the reports to influence Customer
perception of the Service Provider and the quality of
services provided
• Information from service reporting is a key
component of regular BRM reviews with the
Business
Service Reporting

• Key Performance Indicators (KPI’s) for Business Relationship
Management
Business outcomes and Customer requirements are documented and
signed-off
Customer Satisfaction levels are consistently high
Every new service has a comprehensive set of requirements defined by
business managers and staff
Service performance is matched to Business outcomes and reported to
the Customer
Customer complaints are routinely responded to and measured and
trended over time
BRM versus SDM/SLM

• Service Catalogue Management:
BRM assists in managing Customer expectations through the Design and
Transition lifecycle phases
• Capacity & Availability Management:
Both rely on BRM for information on Customer requirements and
desired outcomes. In turn BRM validates performance and availability
levels with the Customer
• Service Level Management:
BRM negotiates, agrees and documents service targets. Validates,
prioritises and communicates service improvement opportunities with
both SLM and the Customer
Interfaces and Dependencies

ITIL Accreditation

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ITIL v3 Business Relationship Management Overview