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 funding required to provide the agreed services – showing a break-even at the end of the financial planning period.
Customer and service assets are recorded in the configuration management system, and all required financial information is complete.
Regular reports are produced on the costs and utilization of customer and service assets and action plans are targeted for any deviations from required performance or utilization.
The cost of each service is reported on a monthly, quarterly and/or annual basis, and compared with the return achieved by that service
The service provider uses an accounting system, and this is configured to report on its costs by service.
Regular reports are provided on the costs of services in design, transition and operation.
Improved accuracy in budgets and charges for the assets utilized by each customer or business unit
Increase in re-use and redistribution of under-utilized resources and assets
Reduction in the use of unauthorized hardware and software
Reduction in the average time and cost of diagnosing and resolving incidents and problems
Improved ratio of used licences against paid-for licences
Improvement in time to identify poor-performing and poor-quality assets
Reduction in risks due to early identification of unauthorized change
Increased quality and accuracy of configuration information

Service Asset and Configuration Management

Improved accuracy in budgets and charges for the assets utilized by each customer or business unit
Increase in re-use and redistribution of under-utilized resources and assets
Reduction in the use of unauthorized hardware and software
Reduction in the average time and cost of diagnosing and resolving incidents and problems
Improved ratio of used licences against paid-for licences
Improvement in time to identify poor-performing and poor-quality assets
Reduction in risks due to early identification of unauthorized change
Increased quality and accuracy of configuration information

The Four Ps of Service Design - It’s not all about Technology

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I was recently asked to clarify the roles of the Process Owner, Process Manager and Process Practitioner and wanted to share this with you. Roles and Responsibilities: Process Owner – this individual is “Accountable” for the process. They are the goto person and represent this process across the entire organization. They will ensure that the process is clearly defined, designed and documented. They will ensure that the process has a set of Policies for governance. Example: The process owner for Incident management will ensure that all of the activities to Identify, Record, Categorize, Investigate, … all the way to closing the incident are defined and documented with clearly defined roles, responsibilities, handoffs, and deliverables. An example of a policy in could be… “All Incidents must be logged”. Policies are rules that govern the process. Process Owner ensures that all Process activities, (what to do), Procedures (details on how to perform the activity) and the

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