Skip to main content

Types of Work / Process Outputs

Dr. Michael Hammer and his co-author James Champy wrote the groundbreaking work Re-Engineering the Corporation. Dr. Hammer has long championed the concepts of using processes to accomplish work outputs and outcomes. Dr. Hammer spoke of three categories of work (or process output). Because a service can be defined as "work done for others," we can equate the types of work described by Hammer with the categories of services described by ITIL. The three categories of work according to Hammer are:

·   Value-Add (ITIL Core services): This type of work (or services) provides direct value in the form of utility and warranty to the customers and users. Customers pay directly for this work or services. This work generates the revenue of your organization. This is "why you exist" and "what you do" as a business.
·   Non Value-Add (ITIL Enabling and Enhancing services): This type of work supports, underpins and enables your Value-Add work or Core Services. This work (or supporting services) does not provide direct value, rather makes it possible to provide direct value by enabling or enhancing your core work or services. Customers pay indirectly for the services in prorated methods spread across the entire customer or user base. This work (or services) is your overhead, and this helps pay your bills.
·   Waste: This work brings little or no value to your customers or users. This work does not help you achieve your business goals or customer requirements. Customers do not and should not pay for work that provides no value. This type of work should be eliminated and the particular target of continual process and service improvement.
By focusing on core services first, then enabling and enhancing services and working to eliminate waste, an organization can achieve great success. The ITIL processes help you focus on value-laden work and services. By following the best practice guidance of both ITIL and Dr. Hammer you can meet the needs of your customers and users.

Comments

Popular posts from this blog

Four Service Characteristics

Recently I came across several articles by researchers and experts that laid out definitions and characteristics of services. ITIL provides us with a definition that can help drive the creation of value-laden services: A means of delivering value to customers by facilitating outcomes customers want to achieve without the ownership of specific costs and risks. An area that ITIL is not so clear is in terms of service characteristics. Several researchers and experts put forth that services have four basic characteristics (IHIP): Intangibility—Services are the results of actions not things. They have no physical presence and represent a logical set of elements. One way to think of service is “work done for others.”  Heterogeneity—Also known as “variability”; services are unique items because of the mechanisms used to deliver services, which is people. Because the people element adds variability, the service is variable. This holds true, especially for the value proposition—not eve...

What Is A Service Offering?

The ITIL 4 Best Practice Guidance defines a “Service Offering” as a description of one or more services designed to address the needs of a target customer or group.   As a service provider, we can’t stop there!   We must know what the contracts of our service offering are and be able to put them into context as required by the customer.     Let’s explore the three elements that comprise a Service Offering. A “Service Offering” may include:     Goods, Access to Resources, and Service Actions 1. Goods – When we think of “Goods” within a service offering these are the items where ownership is transferred to the consumer and the consumer takes responsibility for the future use of these goods.   Example of goods that are being provided in the offering – If this is a hotel service then toiletries or chocolates are yours to take with you.   You the consumer own these and they are yours to take with you.      ...

What is the difference between Process Owner, Process Manager and Process Practitioner?

This article was originally published in 2015. With the Introduction of ITIL 4, some of this best practice has changed. See  ITIL 4 and the Evolving Role of Roles . Updated Definitions in ITIL 4: Process Owner: In ITIL 4, the concept of 'processes' has expanded into broader 'practices.' Consequently, the Process Owner is now often referred to as the 'Practice Owner.' This individual is accountable for the overall design, performance, integration, and improvement of a specific practice within the organization. They ensure that the practice achieves its intended outcomes and aligns with the organization's objectives. Process Manager: Now commonly known as the 'Practice Manager' in ITIL 4, this role is responsible for the day-to-day management of the practice. The Practice Manager ensures that activities are carried out as intended, manages resources assigned to the practice, and oversees the practitioners performing the work. Process Practit...