The purpose of Business Relationship Management (BRM) is to establish and maintain a business relationship between the IT service provider (SP) and the customer.   This relationship needs to be based on an understanding of the customer and their business needs (what services the customer needs now and in the future).   BRM must also help to establish an understanding of the requirements (utility & warranty) a customer is going to expect and to insure the service providers ability to meet those expectations. The customer portfolio is a database used to record all customers of the IT service provider.   It is used by many processes but is defined and maintained in the business relation management process.   It provides insight into the customer and is developed from the point of view of the business relationship manger.   It allows the service provider to understand who the customers are and make the distinction between customers and users.   This enables the BRM to be able to

The publication of ITIL 2011 has brought several new or revamped processes to light. One of those is the Strategy Management for IT Services process. This Strategy process is not actually new. It represents the formalization of best practice guidance for managing strategies contained in earlier editions of the ITIL publications. The purpose of this newly minted process is to use a company’s perspective, position, plans and patterns to ensure better management, governance and control of the IT services an organization provides to support the business outcomes. The basic principles of the Strategy Management process include helping to identify the overall business strategy and then tie an underpinning IT strategy (including an IT service strategy) or manufacturing strategy to the business outcomes through integration and alignment activities. Once an IT strategy emerges in relation to the business strategy, the organization can then decompose the IT strategy into IT tactics and

What is strategic thinking? This question often crosses my mind and those of my students, especially when I am teaching the ITIL Lifecycle classes. Just as often as the question arises, a variety of answers are put forth as well. One definition of strategic thinking holds that “the role of strategic thinking is ‘to seek innovation and imagine new and very different futures that may lead the company to redefine its core strategies and even its industry’ ". This implies that the definition and use of strategic thinking are related but different from strategic planning—putting into action or executing the ideas developed using strategic thinking. Strategic thinking is just that—postulating or thinking about what the future holds and what the future looks like. Strategic planning is action based. A good organization recognizes they need both. As a Professor who attempts to provide learners with theory-driven practical data, information, knowledge and wisdom, I particularly like th

The Professor was recently asked about Application Cost models.  While ITIL does not speak specifically about “Application Cost Models,” there is information about how to create a service cost model using ITIL’s Financial Management process.  From ITIL’s perspective, an application is one part of an end-to-end service. Developing a cost model involves: Identifying all costs attributed to the service (hardware, software, salaries, accommodations, external services, transfer costs (e.g., from other internal units) Determining which costs can be directly tied to the service Deciding how to fairly apportion indirect costs (e.g., infrastructure, technical staff time) Adjusting the total to allow for unabsorbed overhead costs (e.g., administrative or managerial salaries, building/accommodation costs such as a data center or IT office space) A spread sheet can be used to break each cost down into a unit cost.  Overall cost for the application (or service) can then be calculated based

Thanks for the great question Beverly. ITIL V3 and PMBOK Project Management are both best practices that fall under the larger umbrella of IT Service Management (or really just overall Service Management). ITIL focuses on the lifecycle of services, while PMBOK focuses on the lifecycle of projects. Services are all of the things we do to deliver value to our customers. In effect services are a type of product. Projects are temporary (short term) endeavors we undertake to accomplish specific outputs. So we can look at projects as one mechanism or vehicle for establishing and delivering services, products, solutions, etc. The decision as to undertake a project will be made as a result of ITIL Service Strategy and Service Design. The project team may then use PMBOK best practices for accomplishing the goal, objective or output identified during Strategy and Design. Conceptually this places Project Management roughly equivalent to ITIL Service Transition activities (with some overlap to Ser