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Showing posts with the label KPI

Improving IT service outsourcing experience: The magic of bringing XLAs & SLAs together

Our friends over at CitrusCollab shared this really interesting case study: Improving IT service outsourcing experience: The magic of bringing XLAs™ & SLAs together Business Situation A regional utility company with 10,000 employees was ending a first time, multi-year IT infrastructure outsourcing contract with a well-known, sizeable India-based outsourcer. At the termination of the contract, the client was extremely unhappy with: the lack of service quality, the lack of promised innovation and cost reductions, the poor employee experience with the technical services delivery quality, the unacceptable governance experience with the management of disputes and issues, the ineffectiveness of financial penalties as a lever to obtain service performance improvements.  CitrusCollab consultants assisted in the outsourcing contract rebid process. We created several Employee Experience Level Agreements (XLA*) to augment the Service Level Agreement (SLA) for the new IT Infrastructur

Anatomy of an XLA

That is not a typo!   Alan Nance of CitrusCollab recently spoke about The Anatomy of an XLA in an ITSM Academy webinar.   I learned that the days of SLAs are behind us and the future lies with digital experience and eXperience Level Agreements (XLA’s).  If this is the first time you have heard of XLAs then this is a sticky-note moment.    By that I mean; find a sticky note, write down today's date.   Now write down XLA.   Remember that this is the day that you heard it and you heard it here!  XLAs are the foundation of a fresh and optimistic approach to managing the business of technology. Research for yourself and staff members. Learn and explore more about XLA’s! A little history: “Service Management exists to guarantee a valuable experience to customers and colleagues. Despite years of implementing best practices, the reputation of most technology departments is below par in the eyes of business leaders. Consider that 90% of CEOs feel they aren’t meeting their cu

KPIs and SLAs

A short while ago I was asked this question from one of our reader: “ I want to set a KPI around how much of the time we meet the SLA. Like 'meeting the SLA x% of the time'. Can someone advise what would be that 'x'? What is the common practice?  Is there an industry standard around this?”   I’m going to have to go with the consultant answer and say it depends.   First, are we talking about a single service to a single customer? Are we talking about multiple services to multiple customers or somewhere in between those two extremes? Your SLAs should include details of the anticipated performance that your customer expects.  First thing you need to do is discuss with your customer what are the levels of utility and warranty they are expecting? Then document and agree these targets are reachable given the resources that are at your disposal and any constraints that may be discovered. The requirements for functionality (utility) should be defined by your BRM pr

ITSM … We’ve Gone Loopy! [ Part 1 of 2 ]

Feedback Loops Negative and Positive    IT professionals agree that vital information is required in order for a service provider to adapt to the ever changing dynamic needs of the business.   Best practice tells us we should create a culture of ongoing continual service improvement (CSI).   In order to propose strategies for service improvement plans that will allow us to meet the ever changing demands of our customer we need to get a pulse on what is really happening in our internal and external environment.   Taking a SWAG at it is not good enough. Data, information and knowledge are not enough.   A service provider needs to provision the measurement systems that will enable success.   In comes “Feedback Loops”. Negative Feedback loops are positive for ITSM A Negative feedback loop brings you toward your target set point to optimize and sustain an internal stable environment.   An animal maintains homeostasis or a stable body temperature through negative feedback loops.   H

Financial Management and SACM KPIs

A learner who is working towards developing a Cost Management department recently asked about key performance indicators (KPIs) for the Financial Management and Service Asset and Configuration Management (SACM) processes.      ITIL 2011 actually maps Critical Success Factors (CSFs) to KPIs for each process.   Key performance indicators for Financial Management can be found in section 4.3.8 of the Service Strategy book while those for SACM can be found in section 4.3.8 of the Service Transition book. While I cannot list all of the KPIs for both processes, here is a good sample: Financial Management The financial management for IT services framework specifies how services will be accounted for, and regular reports are submitted and used as a basis for measuring the service provider’s performance. All strategies have a comprehensive analysis of investment and returns, conducted with information from financial management for IT services. Internal service providers receive the fu

Use CSI to Meet Changing Customer Needs

You can’t always go home again, but you can use Continual Service Improvement (CSI) to meet the changing needs of your customers. I recently posted a blog about returning to a service desk I had managed and spoke about how the changing business environment had impacted management’s ability to sustain the current list of Critical success factors (CSFs) and Key Performance indicators (KPIs). The 1st question that was asked was “What should we measure?” Within the new business reality we reviewed how the corporate vision, mission, goals and objectives had changed? We spoke with service owners, business process owners, business analysts and customers and asked what was critical to them. What services that we were providing was creating the most value to them and enabling them to meet these new goals and objectives? Management then identified the gaps of “what we should measure”, to “what we can measure”. From this a more customer focused list was developed. The overriding objective

Using CSI to Meet Customer Needs

I recently posted a blog about returning to a service desk I had managed and spoke about how the changing business environment had impacted management’s ability to sustain the current list of Critical Success Factors (CSFs) and Key Performance indicators (KPIs). The 1st question was “What should we measure?” Within the new business reality, we reviewed how the corporate vision, mission, goals and objectives had changed. We spoke with service owners, business process owners, business analysts and customers and asked what was critical to them.  We could then determine the services that were creating the most value  and enabling them to meet these new goals and objectives. Management then identified the gaps of “what we should measure”, to “what we can measure”. From this, a more customer-centric list was developed. The overriding objective of these new service measurements was to provide a meaningful view of the IT service as experienced by our customers. The three key areas that cu