Reducing the Cost to Serve - End-User Support Services

About this research note: Operate & Optimize notes provide Reducing Cost-to-Serve: recommendations for effective and efficient IT practices that help End-User Support improve the performance or reduce the cost of technologies already Services deployed in the enterprise. Publish Date: April 2, 2009
This note provides techniques for cost reduction within the end- user support services area. These techniques are categorized according to time frame and are accompanied by potential pitfalls. IT should determine time frames, and in accordance to them, narrow down the cost-cutting techniques available. When implementing these techniques, IT should keep potential pitfalls in mind and adopt the measures that Info-Tech recommends to avoid these traps. © 1998-2009 Info-Tech Research Group www.infotech.com
Executive Summary This research note applies the Cost-to-Serve cost-reduction approach to identify cost savings opportunities in the end-user support services area. Coverage includes: » Guidance on when this service area is a strong cost management candidate for the organization. » Description of specific cost-reduction measures that can be achieved according to varying time frames. » Case studies that provide real-life insight into experiences with these cost-reduction techniques. The service desk is ripe for opportunities in long-term cost management. Understanding cost management as it pertains to end-user support services is critical when developing IT's overall cost management strategy.
Operate & Optimize 2 Reducing Cost-to-Serve: End-User Support Services www.infotech.com
Introducing Cost-to-Serve The Cost-to-Serve method examines the relative cost to deliver specific IT services, such as servers and storage services, end-user support services, and application maintenance services. Its ultimate goal is to directly map and forecast the impact that changes in spending on IT services will have on the ability to achieve business strategy.
When activities have been categorized into services, it's much easier to decide what spending changes to make. Spending changes that will negatively affect business strategy are avoided, and those that will positively impact business strategy are prioritized and pursued.
Service Description
Often described as the help desk or service desk, end-user support services represents IT's largest interaction point with A Practical Methodology internal clients. This service area includes help desk, user account administration, and communications between IT and end users in For step-by-step guidance on the enterprise community. It also includes onsite support where leveraging the Cost-to-Serve direct intervention is required to restore normal systems operations method to reduce costs, refer to of computing, workstation, network, and telephony resources. the ITA Premium research note,
The marriage of the service desk to both infrastructure and "Methodology: Reducing IT Cost-
application activities results in a wide range of definitions for end- to-Serve."
user support services. In larger enterprises, the service desk may run a small army of level-one help desk support staff supporting thousands of end users. Smaller shops, on the other hand, may have no formal service desk at all, with IT staff handling end-user requests on an ad-hoc basis.
When to Reduce a Service End-user facing services are typically an unpopular area for IT service reductions, largely because this is the side of IT most visible to typical internal clients. Despite this sentiment, there are still opportunities for IT to reduce the costs in end-user support services by streamlining processes and ultimately reducing staff.
Operate & Optimize 3 Reducing Cost-to-Serve: End-User Support Services www.infotech.com
Consider the following statements to investigate whether cutting back on end-user support services presents an expense management opportunity: » Licensing/maintenance contracts for help desk software are up for renewal. » There is little to no communication between IT and the business on service levels and what it costs to meet them. » Incidents or tickets have no formal process for prioritization (i.e. incidents are solved on a first come, first served basis). » The service desk is not using best practice tools like ... [download for more]