Sunday, November 25, 2012

How can Service Catalog help organization establish the foundation of Business Service Management and how is it related to Service Portfolio?


In this blog, we will discuss how an organization can leverage the concepts of Service Catalog and Service Portfolio to drive Service Management culture. In my previous blogs, we have already discussed how given business process will need one or more business services to enable it. And, business services can be shared across multiple business processes. If we further go one level down, we will see that one or more technical services are needed to realize a given business service and these are mostly shared by one or more business services. If you identify and document Business Services and Technical Services provided by the IT organization that becomes your Service Catalog.

Note that new market drivers lead to the development of new or refined business processes. From IT perspective, these new business processes will create new demand for IT to develop and deliver new business services. In most organizations, such endeavors to deliver new business services are achieved through project management. Similarly, if there are any business processes that are being retired and the demand for associated business services is going to diminish, plan needs to be made to manage the retirement of those business services and relevant (unshared) components. For example, if amazon.com decides to start to offer its customers to be able to sell their items through bidding process, it will result in the design and development of new business processes and will require associated business services to enables those business processes. Depending upon the service level requirements (SLR), warranty of these business services need to be designed and delivered to meet the business needs.

Service Catalog is a menu of items (business services and technical services) offered by the IT organization. If there are any business services on the Service Catalog that do not add value and / or do not enable any of the business processes, that is a potential leak and IT organization must assess whether it should continue to offer those services. According to ITILv3, Service Catalog should contain all operational as well as retired services. This may be tailored based on organizational specific needs. I had some clients who used Service Catalog as a source to market new and upcoming services as well. Mostly, they included services that were going to be offered (were scheduled to go live within 4 weeks) soon. So, it really depends upon the organization how it wants to use Service Catalog. The purpose remains the same i.e., to clearly communicate to the businesses / customers on what IT organization offers and to ensure that these business services are aligned with business processes. Service Portfolio, on the other hand, includes all retired, operational and future services.