Measuring The Value of IT Service Management, EMA Whitepaper

Measuring the Value of
IT Service Management (ITSM)
An ENTERPRISE MANAGEMENT ASSOCIATES® (EMAT) White Paper ®Prepared for Avocent
January 2009
IT Management Research, Industry Analysis, and ConsultingMeasuring the Value of IT Service Management (ITSM)
Table of Contents
Abstract...................................................................................................................................................1
What IT Executives Must Achieve....................................................................................................1
Economic Realities Facing Business and IT....................................................................................2
Service Management Risks and Rewards..........................................................................................2
How to Make IT a Strategic Asset.....................................................................................................3
Strategies for Achieving Business Value from IT...........................................................................4Monetary Considerations...............................................................................................................4Non-monetary Considerations......................................................................................................5
How IT Can Reduce Risk and Increase Reward Using ITSM Products ...................................5Building a Business Case for ITSM Solutions............................................................................6Stage 1 - Issue Management....................................................................................................7Stage 2 - Service Delivery Consistency and Repeatability...............................................10Stage 3 - Best Practice Service Delivery..............................................................................12Stage 4 - Proactive Service Delivery....................................................................................17Stage 5 - Optimized and Added Value Service Delivery ................................................20
Summary...............................................................................................................................................22
About Avocent.....................................................................................................................................22
©2008 Enterprise Management Associates, Inc. All Rights Reserved.Measuring the Value of IT Service Management (ITSM)
AbstractThe purpose of this paper is to present a method for reducing risk and increasing IT con-tribution during uncertain times and to assist readers with measuring the value and building a business case for IT Service Management (ITSM). To this end, the paper explains why IT must become a strategic asset - and precisely how IT can become strategic. In a step-wise fashion, this paper offers solutions for IT organizations at all maturity levels.This whitepaper is designed to be interactive. That is, it should be read and then its contents used to drive your own data collection and decision activities regarding how you might move your own IT organization forward. It contains mini-worksheets or "calculators" if you like - small forms that guide you toward making the right decisions on your journey to become aligned with the organization you support, whether it is a business or public sector entity. This will help you deliver real and measurable IT value, as well as respond to the changing needs of your organization, ultimately transforming IT from a cost center into a competitive advantage.
What IT Executives Must AchieveAll Information Technology (IT) executives today want basically the same things: to meet the changing demands of the business landscape, to provide tangible evidence of align-ment, move beyond the image of IT as a cost center and be seen as an innovator and busi-ness enabler. More than a desire, these goals are a requirement: evolving from a cost center, IT is taking on the character, rigor, All Information Technology (IT) and practices of a business within a business. It won't be easy, but for CIOs, it's a matter of survival.executives today want basically the Only a few things stand in the way of these noble ambitions. same things: to meet the changing These are... [download for more]