The Business of IT How to Improve Service and

How to drive more business value from limited IT budgets, and finally bridge the gap between IT and business leadership- Helps IT leadership tailor innovation and tools to support the organization's business mission.- Explodes the myths that surround today's key approaches for managing and measuring IT.- Shows how to compare, utilize, and integrate techniques such as ITIL, SLAs, Balanced Scorecards, and benchmarking.- By two leading IBM experts on bringing business discipline to IT In today's economic climate, it's more crucial than ever for companies to maximize the value being delivered by their IT organizations. That means finally overcoming the fundamental cultural conflict between IT and the business: the conflict between IT's traditional focus on technical innovation and the expectations of the business for standardized pricing and services that can be evaluated through conventional business measurements. In this handson book, two of IBM's leading experts bridge the gap -- showing exactly how to bring business discipline to IT, and align innovation with the needs and goals of the enterprise. The authors explode the myths that have evolved around techniques such as the IT Infrastructure Library (ITIL), Service Level Agreements (SLAs), Operating Level Agreements (OLAs), Underpinning Contracts (UC), and chargeback models. They offer how-to guidance for comparing, choosing, and combining the right methods for each organization, as well as indispensable advice on metrics and benchmarking. This book's thoughtful solutions and ideas won't just help IT and the business work together: they will help IT leadership find a new path to success in an era where IT is increasingly viewed as a commodity.

Robert Ryan is a senior practitioner in the IBM Global Business Services, Strategy & Change consulting practice. He has spent the past 25 years consulting to government and commercial organizations supporting change initiatives. He advises clients on strategic planning, culture transformation, balanced scorecard development and implementation, program/project management, process reengineering and process improvement, performance management communications/outreach, and facilitation. He is ITIL certified, and is focused on applying business discipline through practical solutions in IT organizations. Mr. Ryan has provided services to the Department of Defense; the United States Navy, Marine Corps, Air Force, and the Defense Logistics Agency; a mix of federal civilian agencies; state governments; electric utilities, oil, nuclear power, coal mining; and financial institutions. He has supported all aspects of large-scale change initiatives, and has managed consulting engagements ranging from large-scale change initiatives, to small, limited-scope engagements. He has a Master of Business Administration (MBA) degree in finance from the University of Maryland, and a Bachelor of Accountancy (B.A.) degree from George Washington University. He is also a Certified Public Accountant (inactive license), and has spoken at a number of professional conferences on a range of consulting topics.

Tim Raducha-Grace is a managing consultant within IBM Systems and Technology Group’s Lab Services and Training Consulting Practice. He advises government, commercial, and nonprofit organizations on the business value of IT investments and how to leverage these investments to achieve business objectives. He is ITIL certified and helps clients to improve service levels through following ITSM best practices, including ITIL. He also helps clients improve their financial performance through business cases, IT charging processes, and other financial tools to measure the business value of IT. Mr. Raducha-Grace previously served as associate director of New York University’s Center for Catastrophe Preparedness, where he led interdisciplinary research efforts on crisis management and disaster recovery. He also served as a policy advisor to Senator Susan M. Collins, the chairwoman of the Senate Governmental Affairs and Homeland Security Committee, for a range of issues, including science and technology programs, first responders, and government efficiency. He has an MBA degree in finance and marketing from the New York University (NYU) Stern School of Business and a Bachelor degree in Asian studies and political science from Beloit College. He also studied at Waseda University in Tokyo, Japan.

Preface	p. xv
Acknowledgments	p. xxi
About the Authors	p. xxiii
Introduction: Improving Service and Lowering Costs	p. 1
How Business Practices Improve Service and Lower Cost	p. 4
Improve Service	p. 6
Lower Cost and Understanding the Value of IT Investments	p. 8
Realizing Business Objectives for an IT Organization	p. 11
Next Steps14
IT Service Lifecycle: Improving Business Performance	p. 17
Overview of ITIL	p. 19
IT Service Management	p. 22
IT Service Strategy	p. 24
IT Service Portfolio Management	p. 27
Demand Management	p. 32
IT Service Catalog Management	p. 34
IT Service Level Management	p. 38
Change Management	p. 46
Request Fulfillment	p. 48
Continual Service improvement	p. 50
Next Steps	p. 52
Adopting IT Service Management Using ITIL	p. 55
Managing Change	p. 57
Managing Your ITSM Change Initiative	p. 61
Institutionalizing Your ITSM Change Initiative	p. 78
Next Steps	p. 86
IT Financial Management: The Business of IT	p. 89
Define Service-Based IT Financial Management Activities	p. 91
Implement the IT Financial Management Maturity Model	p. 98
Develop a Roadmap for Improving IT Financial Management Practices	p. 101
Improve IT Financial Management Practices to Improve Service and Lower Cost	p. 110
Improve IT Accounting to Value Services	p. 110
Improving IT Charging Based on Services	p. 120
Improve IT Budgeting Based on the Service Lifecycle	p. 131
Improve Value-Added Financial Management Activities	p. 134
Next Steps	p. 138
IT Business Cases: Realizing IT Value	p. 139
Use Business Cases to Improve the Value of Your Services	p. 140
The Intent and Purpose of a Business Case Process	p. 141
Benefits of an Effective Business Case Process	p. 144
Establish Process: Developing an Effective Business Case	p. 147
Project Design: Develop the Business Case	p. 157
IT Investment Selection: Choose the Most Valuable Investment Option	p. 73
Deployment and Post-Deployment: Measure and Realize the Benefit of Your IT Investment	p. 174
Next Steps	p. 177
IT Performance Management: Defining Success	p. 179
What Is Performance Measurement for IT Organizations?	p. 181
Why Use Performance Measurement for Your IT Organization?	p. 184
The Balanced Scorecard Adapted for IT Organizations	p. 189
Managing Development and Use of Your IT Scorecard	p. 201
How Do You Populate Your IT Scorecard with Individual Measures?	p. 213
Links to Other ITIL Framework Components	p. 215
Sample IT Scorecard	p. 215
Next Steps	p. 216
IT Business Skills: Enabling Customer Outcomes	p. 219
The IT Business Skill's Goals	p. 220
IT Business Skills	p. 223
Improving Your IT Business Skills	p. 229
Next Steps	p. 233
Success Stories: Improving Service and Lowering Costs	p. 235
Swiss Re	p. 236
The City of Corpus Christi	p. 239
United States Navy Netwarcom	p. 242
Neighborhood America	p. 246
Forbes	p. 249
Next Steps	p. 251
Going Forward	p. 253
Opportunities to Improve IT Business Practices	p. 254
The Future of IT ORganization	p. 259
Appendix Acronym List	p. 265
Index	p. 271
Table of Contents provided by Ingram. All Rights Reserved.

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The Business of IT How to Improve Service and Lower Costs

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