Service Level ManagementA Customer PerspectivePrepared by Yasir Karam

Overview• SLM at a glance– Defining Customer Impact– Example of process interlinks – Define requirement reporting

• Implementation – Coaching– Service Catalog– OLA’s– SLA’s– UC’s– Reporting & Metrics

SLM ShortlyObjective

Maintain and improve IT Service quality, through a constant cycle of agreeing, monitoring and reporting upon IT Service achievements and instigation of actions to eradicate poor service in line with business or cost justification. PLAN, DO, CHECK, ACT.

Activities Steps

Identify •Identify business perspectives (Customers, Products, LOB’s, Value Chain, Goals..etc)•Evaluate process maturity

Planning • Planning (appoint SLM Process Mgr, mission statement, objectives and scope, awareness, roles, tasks and responsibilities)• Plan monitoring capabilities• Identification of support tools• Establish initial perception• Underpinning contracts review

Implement • Produce a service catalog• Draft• Negotiate• Review UCs and OLAs• Agree SLA

OngoingProcess

• Monitor• Report (service achievement reports)• Service Review Meetings• Service Improvement Program• Maintenance of SLAs, contracts and OLAs

Periodic Review • Review process• Review SLA, OLAs, UC’s

SLM in ITILKey ITIL Process Relationships

• Change Management• Availability

• Reliability• IT Service Continuity

• Security• Service Desk

Key KPI’s

• # or % of services covered/endorsed • # or % of SLA service targets met

• Review meetings held on time• Document of issues raised and resolved

• # or % of service targets severity of breeches• SLAs monitored and regular reports

SLA Structure

• Service-based = SLA covers one service for all the customers of the service.

• Customer Based = SLA with an individual Customer group, covering all the services they use.

• Multi-level SLAs = Corporate level, customer level and service level agreements in a three layer structure.

Strategic SLA StructuresCorporate-Based SLA

Generic and Cover Entire BusinessCustomer-Based SLA

Meets Unique Needs of Customer

Business Unit A

Business Unit B

Business Unit C

Service X

Service-Based SLAMeets Unique Needs of a Particular

ServiceService Y

Business Unit Acovered by the corporate

SLA, a Customer-A SLAand a Service-X SLA(High Complexity

Difficult to Implement)

Business Unit Bcovered by thecorporate SLAand Service-X

SLA

Business Unit Ccovered by the

corporate SLA only(Low Complexity

Easy to Implement)

SLM Architecture (chronic order)ADJD Customer

IT operations

External Providers or Vendors

Service desk

Internal Service Provider ( IT Business Unit )

OLA

Underpinning Contracts

SLA

Customer’s View

• Improvement of service quality• Reduction in service disruption• Financial savings• Less time and effort spent by IT staff in resolving fewer

failures• ADJD Customers able to perform business functions

without adverse impact• IT services designed to meet SLR• Improved relationship with customers• Higher customer satisfaction• Manage Customer Expectations – Number One

Implementation• Appoint Service Level Manager• Assemble Project Team• Create Service Catalog (Service Brochure)• Develop Operational Level Agreement• Develop Service Level

Agreement/Underpinning Contracts• Develop Reporting• Develop SLM process for review, audit and

modify

Service Level Manager• Roles and Responsibilities as defined by ITIL– Create service catalog– Formulates, agrees and maintains SLM structure– Negotiates, agrees and maintains SLA with

customer– Negotiates OLAs with IT provider– Analyses and reviews service performance

against SLAs and OLAs

Project Team• Core “silo” team (networking, security, application

development, infrastructure, client/server, etc.)• Each team must provide a senior manager and attend

all sessions for authority to negotiate• All process owners • Service Desk Manager• Customers– Representative of each ADJD business unit– Senior level– End user

• No more than 15 representatives – too many makes negotiation difficult

Changing the IT Culture

Task 1

Task 3

Task 2 Task 4

Task n

Processes

Silos

Service Catalog• Initiate with a site survey

– All applications, services and products (CIs)– Number of users– Business impact and value chain

• Develop a standard list of products and services provided• Determine the level of support to be provided at the

service desk• Define the internal support provide responsible for

functional escalation and problem management• Modified later to contain cost information• Subsection creates the customer brochure• Finalize list with project team• Becomes part of the change management process

Operational Level Agreements• Establish current baseline• Although ITIL allows for multiple OLAs, we will

recommend that only one to be negotiated and implemented

• Simplistic SLM scheme easier to negotiate, implement, manage and change– Establish corporate level OLA– Corporate level SLA– UC’s– Through monitoring and review create more

complexity as it is required

Service Level Agreement

Contents• Introduction• Service Hours• Availability• Reliability• Support• Throughput• Transactional response times• Batch turnaround times• Change• IT Service Continuity and Security• Charging• Service reporting and reviewing• Performance incentives/penalties

• It’s easier to negotiate a corporate level SLA initially

• Some core business units have special requirements based upon service/customer requirements

• To avoid making multiple SLAs with conflicting and vastly different objectives

Reporting – Key Metrics• Sources

– ACD– KM– Incident/Problem Management System– Email

• Types of Reports– Service Level

• Average speed of answer• First Contact Resolution• MTTR• Response and Resolution service breeches• Response and Resolution attainment (SLM compliance)• Availability, Reliability, Capacity (when part of SLA/OLA, UC)

– Trending• Recurring Incidents• Customer Satisfaction

Reporting – cont.• Reporting must provide information to

management on the attainment of service level commitments.

• Must not be a punitive process but perceived as one in which the organization makes business decisions on resources and cost of service based upon attainment

• Weekly reports on service breeches• Monthly reporting on trends• Monthly meetings with project team to

make strategic decisions• Based upon SLA/OLA and defined

measurement points in process diagrams

Roadmap

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Service Provisioning, Delivery, Support Service Charging & Enhancement

BaseliningCheck process maturity assessment Check services maturity assessmentCheck process automation tools Check available policies and procedures Check available source documents (IT Strategy, Corporate Strategy, IT Initiatives)Identify role players; customers, process owners, products, processesIdentify services

Planning Develop project plan including resources, activities, communication, budgetingTeam AssemblyTeam structuring and role assignment

Service CatalogService design strategyService provisioning

Identify opportunitiesCreate service packages Create service offering Create service levels and targets

Create service catalog processesDevelop service catalog portal (order, basket)Metrics and KPI’sExplore measurement opportunities or servicesIdentify metrics list Develop automation and toolset strategy

UC’s Explore sourcing strategyIdentify suppliers Map suppliers to servicesReview UC’s OLA’s Identify service providers Meet, negotiate and agree on services, metrics and service levelsDefine, communicate and agree on OLA structures Communicate and agree on OLA templates, forms, procedures

Branding and marketing of servicesCreate branding guideCreate promotion plansCreate service brochureCreate market probing plansSLA’sStrategic SLA structureAgree service levels and targetsAgree SLA templatesDevelop articulation plansExecute plansMonitor and control execution

OperationMonitoring and reportingReview SLA’s, OLA’s Review and optimize processes Plan for performance managementExecute enhancement plan

Suggested Roadmap

Publish 1st version of service catalogue

Finalize vendor OLA’s for outsourcing of service, licenses

and warranties

Endorse and sign formal OLA’s with

IT service owners

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Endorse and sign formal SLA’s with ADJD users