Business SErvice Management Notes

1. Forrester – BSM Best practices
April 23, 2007
Peter o Neill
Evelyn Hubert

2. Typical metrics BSM
Typical metrics Reporting line
Business service Time to process completion CIO/service owners
management Processing backlog volume reporting to LOB
State of business service executives
Business transaction volume
IT service management Service availability CIO reporting to CFO
Incident closure rate
Frequency of changes
Infrastructure Server availability IT operations reporting to
management CPU utilization CIO
Disk space

3. 4 steps in BSM
• Map Business processes
• Map IT Infrastructure resources
– Inter relationships; dependencies
• Dynamically interlink IT Infrastructure and Business
process
• End to end Monitoring of IT infrastructure.

4. Forrester S Curve

5. Some key advice on the way
• Just enough BSM
• ITIL based standard practices
• Service oriented approach
• Involve business analysts
• Low hanging quick wins
• Be pragmatic – just enough top down
• CMDB should be the center of all IT SM
• Define BSM and CMDB from process perspective

6. BSM Challenges within IT

7. BSM vendor landscape
• Strategic integrated vendors
– IBM HP CA BMC Managed objects
• Service Management approach
– Service catalogs with business metrics
– Digital fuel, Oblicore Proxima
• Performance management approach
– Transaction / performance management tools with business metrics
– Proactivenet, OpTier

8. Forrester wave

9. Defining BSM
CA.Sarah Meyer

10. Benefits from BSM
• BSM Empowers IT to
– Offer reliable, flexible, business-sensitive levels of service
– Measure service quality in terms of business user experience
– Improve operational efficiency and agility end-to-end
– Reduce and control costs through automation and integration
– Become a strategic partner, value generator and source of innovation

11. Key phrases
• Managing the IT service supply chain aligned to
business

12. Key elements
• Optimize: Map, Measure, Automate, Visualize
• CREATE SERVICE MODELS
• OPTIMIZE SERVICES BY OPTIMIZING THE INFRASTUCTURE
• MAP THE COMPLETE IT SERVICE SUPPLY CHAIN TO BUSINESS
PROCESSES
• MEASURE PERFORMANCE BASED ON BUSINESS GOALS AND
USER SUCCESS
• STANDARDIZE AND AUTOMATE PROCESSES
• INTEGRATE BUSINESS GOALS

13. BSM TIBCO Whitepaper

14. The need.
• Prioritize IT support management
• Moving from component based to service based
– Service catalog defs and business metrics
• From home grown to standards for reporting

15. Outcome initiatives from BSM
• Service Performance Management
– Proactive ; trending ; rapid response to incidents
• Capacity Planning
– Put money where business growth is maximized and need exists
• Chargeback / Usage Analysis.
– LOB expenditure
– Alignment to business growth activities & needs.

16. Whats effective BSM?
• Access to all critical service metrics
– Internal | Adaptors | Stds compliant
• Define business service model
– Process breakdown, linkages to infrastructure, metrics rules
• RT Analytics of infrastructure against business model
– Collect, transform, represent
• Archive service metrics for analysis
– Trends, base lining and audit trails
• Alert response mechanisms
– Emails, scripts, executions, triggers
• Configurable dashboards & reports
– RIA Report builder

17. BMC - Discovery
Mapping Infrastructure resources,
relationships and dependencies

18. • Integrated CMDB needs auto discovery
– Asset changes ; Logical and physical assets
– Inter relationships betweens assets
– Dependencies between assets, people and business processes

19. Doug Mcclure
Dougmcclure.net
we

20. • Maintain the state of IT
– So what goes into a CI? CIs generally
consist of configuration attributes
such as description, version number,
component, relationships, location,
and status
– ~50% of unplanned service outages
happen because of system
configuration mistakes or oversights

21. Definitive Guide to BSM
Greg Shields
Compuware
Realtime publishers

22. Challenges to IT
• Monitoring and response infrastructure focused
– Critical links of infrastructure to business missing
– Other factors like time zones etc.. Not factored in
– What is an SLA?
• Factors that influence
– Loss / performance / response time
• Applying $ value to reduction in quality
– Monitoring + Money

23. Chasm between IT and business
• Monitoring IT has been on for years
• The gap is in defining what’s important to business
• The Views differ
– IT >> UP or NOT
– Business > Customer Sat + Service Availability Capability in service

24. What are Business Services?
• Services involved in the completion of daily business
activities
– Whether users are customers / internal / IT or systems/
– Can there be monetary measurement?
• Build a service model
– Service breakdown
– Service interrelationships
• Customer sees service as
– Acceptable
– Un Acceptable
– Un Available

25. Breaking down BSM
• Misalignment will be there as language differs
• Business Impact Management
– Combine Network monitoring + App data to give end impact information
• Real time Service Visualization
• Fault trees

26. Aligning IT to Business
• How to merge metrics • Alignment inhibitors
driven business with – No Common Dialog
• Tune in to the business cut out
Technology driven IT? complexity
– Children / aged / Bosses
• Bottom tech heavy nature – Ensure metrics / Finance
of IT organizations results in • Business to understand IT
– Mismatched expectations
technology focus instead of
– Technology focused metrics
business focus – Siloed work envrionments
• – Reactive mindset in IT
• Set aside some investment on long
term strategic thinking

27. IT Maturity Journey
• Rightward movement thru
– Planning
– Automation
– Service thinking
Key Word Chars BSM How to BSM
Chaotic Adhocracy No process, Wont Fly Notifcation ; Environment
documentation; Instability awareness
Reactive Firefighting Best Efforts, inventory, Uphill task Data integration; Remove IT Silos; ops
monitoring, tech mindset dashboards;
Proactive Optimal infra Predictve analysis, automation, Best BSM
problem mgt
Service Beyond infra SLA, capacity, Cost, BSM Ready
Value Business Value Beyond BSM

28. Changing IT
– Impact to Business
– Competitive Advantage
– Agility
– Proactive IT
• Why invest in BSM?
– Agile IT for IS
– Business Service performance for
Business
• Where does BSM work?
– Revenue generating or revenue/cost
impacting
– Critical to the business
– Supported by the infrastructure of IT
– Integrated with business processes
– Provided by a service organization,
whether internal or external

29. Chapter 2 IT service Evolution
• What is IT Service / What is Business service?
– Business relevance of information?
• Typical Monitor and respond process
– Identify Manageable Endpoints | Classify / Categorize Elements | Notify |
Granularize Iteratively | Remediate
• Maturity of IT
– Organization structure with RACI to ensure right messages to right levels
• Data Centric view of IT?
– Store | Manage | Administer | Transform | Transport | Visualize

30. Chapter 3 Once you’re thirsty, it’s long past the
time you should have taken a drink,
• SNMP – MIBS
• Agents that capture and control
– Proprietary / agent management
• Native – Agentless
– OS capture / DB / Interface / Protocol
• Work on NMS to syn to
– Service assurance
– End user experience
– Visualization
– Improvements and trends
– Business value

31. Chapter 3
• How to schedule across
time zones for online
transactions?
• Challenge is is what to
monitor
– thousands of counters “separating
the wheat from the chaff” challenge
• Thresholds / limits / trends
• App code tracing
• Distributing alerts
• Dashboard design

32. Chapter 4 Implementing BSM
• Value of BSM
– Understand the Critical to Quality Services [ portfolio]
– Manage Daily Risk and Improve Business Decision Making
– Initiate Service Improvement Activities
• 7 steps of BSM Implementation
– These are malleable and need to be fit to a customer
– 100% is never reached! [ CSI]

33. Chapter 4 7 steps in BSM Implementation
• Step 0 – prepare • Step 2 – Define
– Project Team / Charter – Structure. Behavior. Relevance.
• Ensure that business is involved – Use Case Diagrams
– Stakeholders / Plan – Categorize
• Value / Outage impact / Abnormality
• Step 1 - Selection Impact / RTO – RPO / SLA – OLA /
– Identify services MECE + Business Users / time / Code / Location
– Just Enough | Phases | Low hanging /Dependencies
fruit – Define SLR [ Service Assurance ]
– Critical and measurable services • Availability / Reliability /
Performance
– Define Service Breakdown
– Define PIE / Problem & opps - Kano
– Assess [ Value / Cost ]
– Define CSF

34. Chapter 4 7 steps in BSM Implementation
• Step 3 – Model • Step 5 – Data Analysis
– Hierarchical diagrams with business – Where are the gaps
processes in relation to IT resources • bad service quality, customer ratings,
– FMEA / CRAMM / CFIA / FTA system overload, element response
time, or transaction throughput
– Model Associated Metrics [KPI]
– What are the trends
• user wait time, business metrics,
systems & transaction performance – Visualize the Data
– Build the service model – Validate Data – Assumptions
• Link metrics to actual data – Realize the Fault tree paths
– Define the Data model [ERD] • Derive Impact analyses
•
• Step 4 – Measure
– Ensure enough time for this step
– Tie BSM to infra monitoring
– Also attache End user monitoring
– Tie into SM systems, SD, CMDB
Remember too that BSM is not intended to “rip and replace” existing monitoring systems

35. Chapter 4 7 steps in BSM Implementation
• Step 6 – Improve • Step – 7 – Reporting
– What are the problem domains – Ensure that reporting model does not
– Identify and resolve the gap stagnate [ users get reliant]
• De Bono – Simplicity – Dashboards
• TRIZ – 40 Principles – Notifications
• Lean – 3M 5S 7W – Configuration control & handoff to
– Recheck the model continually operations
Remember too that BSM is not intended to “rip and replace” existing monitoring systems

36. Chapter 5 End user Experience Monitoring
• “Egg Timer” Problem
– times but does not reflect the quality of the eggs
• Flow Analysis
– Single flow analysis [End user monitoring]
• Understand the Client Network Server [CNS] Spread
• Agent / Agentless || Server / Client || Service / Transaction
– Aggregate flow analysis [ flood monitoring]
– Usage / Feature Profiling
• Visualize & Prioritize problems before the impact
– Interface tracing / data channel sniffing /

37. Chapter 6 Achieving management value