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IT Ops Scenario

IT Infrastructure, Operation and Data Center Summit April 9-10, 2013 Sheraton Sao Paulo WTC Hotel Sao Paulo, Brazil

Patricia Adams

Notes accompany this presentation. Please select Notes Page view. These materials can be reproduced only with written approval from Gartner. Such approvals must be requested via e-mail: vendor.relations@gartner.com. Gartner is a registered trademark of Gartner, Inc. or its affiliates. This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

IT Ops Scenario

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 1

IT Ops Scenario

Improving cooperation and alignment with business leaders has long been a goal of I&O organizations. Often times organizations will invest in large, multi-year projects to make such improvements. Although these large efforts do, in fact, result in improved relations between I&O and business leaders, many organizations can't afford either the time or the costs of a long-term investment and essentially give up on the goal. However in our view there is more than one path to improvement. I&O organizations can make smaller, measured changes in their operations to move forward. In some cases this involves stopping taking actions that have limited value or are ultimately counterproductive. In other cases it means looking at current practices in a new light essentially rethinking and reimaging traditional solutions. And, of course, it typically involves the introduction of new practices and technologies into the mix. But in all cases these changes can be made incrementally and over manageable periods of time.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 2

IT Ops Scenario

IT operations management is often an afterthought that follows the deployment of new or emerging technology. However IT operations management can, in fact, lead the charge for the implementation of new technology and influence successful business outcomes. This presentation will highlight key decision points in IT operations management technology, processes, and organizational approaches. What current-state IT operation management investments impair future change? What investments in IT operations management best facilitate future change?

What immediate actions should IT take to prepare for the planning horizon?

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 3

IT Ops Scenario

IT operations management is often an afterthought that follows the deployment of new or emerging technology. However IT operations management can, in fact, lead the charge for the implementation of new technology and influence successful business outcomes. This presentation will highlight key decision points in IT operations management technology, processes, and organizational approaches. What current-state IT operation management investments impair future change? What investments in IT operations management best facilitate future change?

What immediate actions should IT take to prepare for the planning horizon?

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 4

IT Ops Scenario

Key Issue: What current-state IT operation management investments impair future change? In the past, many companies have had a different strategies for selecting, deploying, and managing infrastructure and operations. They may have had methodologies for classifying infrastructure, by application, organization, geography or technological viability, but they did not recognize that different aspects of infrastructure are fundamentally different based on how they are used by the organization. Gartner has created three categories to distinguish these infrastructure and operations types and help organizations develop more-appropriate strategies for each one. The same infrastructure may be classified differently in one company than another based on its usage and relationship to that business model. Differentiating infrastructure components by categories allows the I&O organization to avoid a cumbersome and expensive "one size fits all" approach and instead determine appropriate levels of investments and appropriate management controls for each layer. Action Item: Map your infrastructure components into categories or layers so you can better determine levels of investment and levels of control.
Patricia Adams BDCL3_103, 4/13 Page 5

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

IT Ops Scenario

Key Issue: What current-state IT operation management investments impair future change? While IT spend be increasing year over year, Gartner continues to see that the I&O organization makes poor choices in how there are spending their resources. Overall, there is a lack of balance in how investments are made, and organizations are not looking to spend their money evenly across the three main pillars of the I&O organization; people, process and technology. What Gartner regularly sees is organizations trying to solve infrastructure issues through new technology. It is very common for organizations to attempt to solve issues that exist within their people and processes by adding new technologies. Vendors often lure companies to their offerings by providing solutions that may be certified against popular best practice frameworks, However, a certified product does not replace the need to investments across the I&O pillars. Action Item: Don't buy a tool before first raising the maturity of the management practices, people practices and processes for your organization.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 6

IT Ops Scenario

Key Issue: What current-state IT operation management investments impair future change? Regardless of the function within infrastructure and operations (I&O), metrics inundate our days trying to report and explain productivity in terms of numbers and measures that everyone can understand. But our focus on providing metrics to prove how successful we are has left a void in the value message of what the I&O is actually providing to the business. Although we believe the business should be impressed with how effective the incident management process is and marvel at the Mean Time to Restore Service (MTRS), reality shows us that most of the metrics we report on are of no interest to the business users, and don't really tell the story of what value the I&O is providing to the business. If we can take the time and push our existing approach to metrics aside, and follow some simple steps in how we report on our activity, we can begin to use metrics to show how the I&O is a true valued business partner. Action Item: Begin to limit productivity metrics that are reported to the business leaders and ensure appropriate metrics are used to drive the right behavior.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 7

IT Ops Scenario

Key Issue: What current-state IT operation management investments impair future change? Gartner sees clients often making investments into SaaS solutions with the belief that cloud based technologies are inherently better than other options and will, by default, solve any of their I&O woes. This ideal stems from the though that SaaS is often market as a technology solution itself, rather than as a delivery model for existing technologies. In fact, many vendors are offering their product via multiple delivery models, with little to no actual functionality differences. Clients perception of SaaS, and often why it is believed to be a better option, is that SaaS is less expensive overall. Organizations falsely believe that because SaaS costs less in the first years of the agreement that it will always be less expensive than perpetually licensed software. Gartner client inquiries have not shown this to be the case, as the internal costs for implementation, internal resources, integrations, and vendor management are the similar for both licensing model. The other side of this issue is that often organizations make calculations based on FTE's the assumed percentage of savings, and in reality the person never leaves the company and the bottom line never gets adjusted. In short, not enough time is spent to understand what the differences are and what they truly cost. Action Item: Use Gartner's Business Case Model for Total Cost of Ownership (TCO) Analysis of SaaS vs. Traditional Application Software and Services to understand your 3, 5, and 10 year TCO.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 8

IT Ops Scenario

Key Issue: What current-state IT operation management investments impair future change? Impacts Immature infrastructure and operations (I&O) organizations purchasing software as a service (SaaS) IT service support management (ITSSM) tools that don't reach maturity in the first contract term will miss time-to-value opportunities. I&O organizations that don't include the full scope of internal SaaS ITSSM tool costs won't achieve the expected ROI. I&O organizations that don't license SaaS tools strategically are less likely to renew first-term contacts, and will incur heavy switching costs. Recommendations Build strategic road maps to improve I&O maturity across all people, process, technology and business management dimensions in conjunction with your tool acquisition. Consider perpetual licensing if your organization can't utilize at least 50% of SaaS ITSSM modules in three years. Use Gartner's business case model for total cost of ownership (TCO) analysis of SaaS versus traditional application software and services. Expect your license requirements across both licensing models to increase over the solution life cycle.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 9

IT Ops Scenario

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 10

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? Many IT professionals view methodologies, frameworks, and standards as competing approaches to delivering IT value. This perspective often leads to broad disagreements along the lines of "ITIL versus CMMI" or "ITIL versus DevOps" and so forth. In truth, rarely can a single I&O organization stay within the boundaries of any one framework or methodology different categories of infrastructure and different groups within IT often require different approaches. Our advice is to treat frameworks, methodologies, and standards as a set of cookbooks and to pull a set of recipes from these resources to build a approach a meal if you will that uniquely fits the needs of your organization. In some cases you will need to be more creative and innovate beyond existing guidance and best practices. Gartner's research on the topic of "ValueOps" is one example of this approach; ValueOps suggests how you can combine and optimize multiple methodologies to create a streamlined approach to some I&O challenges. In essence, you can draw the unique value from the different choices and combine for the greatest impact. Action Item: Identify the methodologies, frameworks, and standards that are applicable to your I&O organization and look at how they may be combined and/or optimized.
Patricia Adams BDCL3_103, 4/13 Page 11

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? IT Operations Management (ITOM) tools are the foundation under which the Infrastructure and Operations (I&O) operate. New technologies are continually being evolved and many long standing methods of dealing with common I&O issues continue to be available. The I&O organization should continually question the value of these technologies and their impact on the I&O operations. Because the tools and technologies are such an integral part of how the I&O team operations, it is crucial that the appropriate technologies be employed, and the ones that are no longer as impactful as they once were be retired. The ITOM Market Clock serves as a decision framework that helps IT leaders evaluate and prioritize their investments in IT operations management tools. Every technology asset class is mapped in terms of commoditization and progress through its own market life cycle. Both parameters help organizations make decisions for deploying, sourcing and retiring key assets in their I&O asset portfolio. Action Item: Make the IT Market Clock a component of your strategic planning efforts for the I&O organization.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 12

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? The concepts of having standards within the I&O organization is certainly not a new idea. There are numerous frameworks with which you can choose to aid in standardization, and a big part of maturing the I&O organization falls into ensuring that appropriate standards exist against people, process and technologies. But many people believe that cloud based technologies offers a license to throw the idea of standardization out the window and customize beyond recognition. With the promise of flexible solutions, often portrayed by SaaS vendors, Gartner clients look to take out of the box solutions and create a totally new tool that requires a whole new set of skills and resources to maintain moving forward. In reality, SaaS tools should follow standardization just as much as another other type of tool delivered via any other model. Limiting customizations to the tool is just good sense and ensures ease of ongoing support and a smooth transition from version to version. Action Item: Limit customizations made to your SaaS tools.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 13

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? Business metrics must align to each side of the triangle to understand the balance of efficiency, productivity and satisfaction. In determining which side to align business-oriented metrics to, the metrics should not be used twice to eliminate hyper-focus. Metrics may overlap, but having providing a balanced viewpoint requires that organizations interpret metrics appropriately as they align to business objectives. For example, a metric such as MTRS can show how efficient a team is being, but it can also be an indicator of how productive the team is as well. Deciding how to use the metric eliminates hyper-focus. This is also important because steering performance toward the wrong metric can have un-intended consequences. For instance, should you choose to use FCR as your main measure and the IT service desk staff knows that is how they are being measured, they may begin to spend too much time on one particular issue. Although this may certainly address that one issue, it can cause the backlog to become unmanageable, impact the MTRS as well as the resolution time distribution, and more importantly, cause a dissatisfaction of other customers who may be waiting in the queue for assistance with their issue. Additionally, look to update existing dashboards with Business Value Dashboards and work to utilize metrics that tell a story about the value of service, beyond just productivity and performance. Action Item: Establish metrics triangles to ensure you are using small subsets of metrics that work in unison to tell the story of performance for the I&O.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 14

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? As mobility, social interaction, information and the cloud converge, traditional IT service desks are becoming unsustainable. Some CIOs and infrastructure and operations leaders are reshaping their traditional, reactive and technology-oriented ITSDs into proactive business productivity teams. BPTs represent a departure from the traditional ITSD model. Whereas ITSD teams react to user issues, BPTs proactively promote productivity by enabling user selfsufficiency, understanding business processes and challenges, and proactively leveraging existing IT capabilities to improve business capabilities. By instilling BPTs with a broad understanding of business processes, they can quickly identify solutions for common business user challenges, ideally before the user realizes there's problem. To do so, BPTs are radically different from current ITSDs: they have fundamental differences in purpose; operating model; relationship to users, staffing and skills; and success criteria. Progress with traditional ITSDs has stagnated in many I&O organizations. Emerging trends, including consumerization of IT, are likely to further erode the effectiveness of traditional IT support models. As an alternative, some CIOs and I&O leaders are leaning on a proactive, collaborative approach that Gartner describes as a BPT. Being aware of the key differences and obstacles can increase the success rate for creating an effective alternative to the traditional ITSD support approach. Action Item: Access the potential of the new IT business productivity team (BPT) support model for your organization.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 15

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? As mobility, social interaction, information and the cloud converge, traditional IT service desks are becoming unsustainable. Some CIOs and infrastructure and operations leaders are reshaping their traditional, reactive and technology-oriented ITSDs into proactive business productivity teams. BPTs represent a departure from the traditional ITSD model. Whereas ITSD teams react to user issues, BPTs proactively promote productivity by enabling user selfsufficiency, understanding business processes and challenges, and proactively leveraging existing IT capabilities to improve business capabilities. By instilling BPTs with a broad understanding of business processes, they can quickly identify solutions for common business user challenges, ideally before the user realizes there's problem. To do so, BPTs are radically different from current ITSDs: they have fundamental differences in purpose; operating model; relationship to users, staffing and skills; and success criteria. Progress with traditional ITSDs has stagnated in many I&O organizations. Emerging trends, including consumerization of IT, are likely to further erode the effectiveness of traditional IT support models. As an alternative, some CIOs and I&O leaders are leaning on a proactive, collaborative approach that Gartner describes as a BPT. Being aware of the key differences and obstacles can increase the success rate for creating an effective alternative to the traditional ITSD support approach. Action Item: Access the potential of the new IT business productivity team (BPT) support model for your organization.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 16

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? Applications continue to become more loosely couple; this is further complicated by the transition to cloud delivery models. With these changes traditional data center-centric application monitoring becomes less effective because application components (or in some cases the entire application) are no longer contained within the walls of the data center. This is even true at the network layer as more organizations embrace mobile devices and mobile technology, traffic that used to flow exclusively through the data center can be routed over cellular networks that are virtually invisible to the I&O team. As a result of these changes, there is only one place where we can actually gauge the end-user experience: that is at the end-user device itself. By including the end-user experience, IT can get a better view of what the end-user, and by extension the business experience, is actually like. Embracing end-user experience monitoring allows IT to "see" applications and services being delivered outside the scope of internal IT. In most organizations end users do not understand where applications are being hosted they only perceive their experience as it relates to application responsiveness. Therefore, when something goes wrong, end users are still quick to get on the phone to the service desk regardless of the origin of the application. End-user experience monitoring allows IT to obtain a better view of all application and service behavior both internal and external and often see a problem before a user picks up the phone to dial the service desk. Action Item: Reallocate application performance monitoring investments to include end-user monitoring technology.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 17

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? Applications continue to become more loosely couple; this is further complicated by the transition to cloud delivery models. With these changes traditional data center-centric application monitoring becomes less effective because application components (or in some cases the entire application) are no longer contained within the walls of the data center. This is even true at the network layer as more organizations embrace mobile devices and mobile technology, traffic that used to flow exclusively through the data center can be routed over cellular networks that are virtually invisible to the I&O team. As a result of these changes, there is only one place where we can actually gauge the end-user experience: that is at the end-user device itself. By including the end-user experience, IT can get a better view of what the end-user, and by extension the business experience, is actually like. Embracing end-user experience monitoring allows IT to "see" applications and services being delivered outside the scope of internal IT. In most organizations end users do not understand where applications are being hosted they only perceive their experience as it relates to application responsiveness. Therefore, when something goes wrong, end users are still quick to get on the phone to the service desk regardless of the origin of the application. End-user experience monitoring allows IT to obtain a better view of all application and service behavior both internal and external and often see a problem before a user picks up the phone to dial the service desk. Action Item: Reallocate application performance monitoring investments to include end-user monitoring technology.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 18

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? Despite past successes and busy teams, NOC leaders should push their organizations to think in terms of value not activity, proactive capabilities not reactive approaches, and business impact not technology environments. Given the business and technology changes and alternative approaches revisit the value proposition with your current NOC's role. Additionally, review the current level of expense associated with the NOC against the value received. Plan what could be done to transition your NOC into a modern Operations Center will aid the NOC team and all of I&O in reaching higher levels of organizational maturity and contribute toward the elusive status as a trusted partner to the overall business. The traditional reactive work in a NOC of watching and waiting for alerts to flash and then notifying other parties is no longer the sufficient value add that it once represented. It is perhaps even something that should be discontinued. Focus on moving activities which can be automated in that direction, create an updated business case, transform the current NOC role into a more proactive robust function, and align your team skills to the expanded role. Evolution activities revolve around people, process and technology: -- People: Identify a leader, structure staffing requirements and potential new roles -- Process: Identify current management process and desired future state -- Technology: Inventory current tools, identify gaps in technology and create an integration strategy Action Item: Eliminate or expand the NOC role, when business or technology drivers invalidate the NOC's supporting business case. Create a road map to support role changes and revitalize a reactive, limited function traditional NOC.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 19

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? Despite past successes and busy teams, NOC leaders should push their organizations to think in terms of value not activity, proactive capabilities not reactive approaches, and business impact not technology environments. Given the business and technology changes and alternative approaches revisit the value proposition with your current NOC's role. Additionally, review the current level of expense associated with the NOC against the value received. Plan what could be done to transition your NOC into a modern Operations Center will aid the NOC team and all of I&O in reaching higher levels of organizational maturity and contribute toward the elusive status as a trusted partner to the overall business. The traditional reactive work in a NOC of watching and waiting for alerts to flash and then notifying other parties is no longer the sufficient value add that it once represented. It is perhaps even something that should be discontinued. Focus on moving activities which can be automated in that direction, create an updated business case, transform the current NOC role into a more proactive robust function, and align your team skills to the expanded role. Evolution activities revolve around people, process and technology: -- People: Identify a leader, structure staffing requirements and potential new roles -- Process: Identify current management process and desired future state -- Technology: Inventory current tools, identify gaps in technology and create an integration strategy Action Item: Eliminate or expand the NOC role, when business or technology drivers invalidate the NOC's supporting business case. Create a road map to support role changes and revitalize a reactive, limited function traditional NOC.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 20

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? Despite past successes and busy teams, NOC leaders should push their organizations to think in terms of value not activity, proactive capabilities not reactive approaches, and business impact not technology environments. Given the business and technology changes and alternative approaches revisit the value proposition with your current NOC's role. Additionally, review the current level of expense associated with the NOC against the value received. Plan what could be done to transition your NOC into a modern Operations Center will aid the NOC team and all of I&O in reaching higher levels of organizational maturity and contribute toward the elusive status as a trusted partner to the overall business. The traditional reactive work in a NOC of watching and waiting for alerts to flash and then notifying other parties is no longer the sufficient value add that it once represented. It is perhaps even something that should be discontinued. Focus on moving activities which can be automated in that direction, create an updated business case, transform the current NOC role into a more proactive robust function, and align your team skills to the expanded role. Evolution activities revolve around people, process and technology: -- People: Identify a leader, structure staffing requirements and potential new roles -- Process: Identify current management process and desired future state -- Technology: Inventory current tools, identify gaps in technology and create an integration strategy Action Item: Eliminate or expand the NOC role, when business or technology drivers invalidate the NOC's supporting business case. Create a road map to support role changes and revitalize a reactive, limited function traditional NOC.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 21

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? IT needs to stop viewing itself as a sole supplier of services and must instead become a broker of services. For many I&O organizations, the model consists of creating and providing the services that the I&O organizations believes are of the most value to the end users of the business. But without end user input, how can the I&O team know what services are of the most value. Beyond that, the I&O organization must recognize that they are not the only provider of services to the business. They are numerous other options available, including SaaS-based services, managed services, etc. Because of the choice of services available, the I&O team must look to become more of a broker of those services, managing the contracts and SLA's, monitoring the services and working to ensure quality in the delivery of those services to the end user. Ultimately the I&O team should be seen as an enabler of productivity, independent of where the services themselves are sourced. Just making sure the end user has the ability to choose the most appropriate service from the most appropriate supplier can show how the I&O team understands the needs of the business. Action Item: Evaluate how your I&O organization can become a broker of services by enhancing the portfolio of services to include services provided by outside suppliers.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 22

IT Ops Scenario

Key Issue: What investments in IT operations management best facilitate future change? IT needs to stop viewing itself as a sole supplier of services and must instead become a broker of services. For many I&O organizations, the model consists of creating and providing the services that the I&O organizations believes are of the most value to the end users of the business. But without end user input, how can the I&O team know what services are of the most value. Beyond that, the I&O organization must recognize that they are not the only provider of services to the business. They are numerous other options available, including SaaS-based services, managed services, etc. Because of the choice of services available, the I&O team must look to become more of a broker of those services, managing the contracts and SLA's, monitoring the services and working to ensure quality in the delivery of those services to the end user. Ultimately the I&O team should be seen as an enabler of productivity, independent of where the services themselves are sourced. Just making sure the end user has the ability to choose the most appropriate service from the most appropriate supplier can show how the I&O team understands the needs of the business. Action Item: Evaluate how your I&O organization can become a broker of services by enhancing the portfolio of services to include services provided by outside suppliers.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 23

IT Ops Scenario

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 24

IT Ops Scenario Key Issue: What are the best practices for driving continuous improvement in IT operations? Strategic Imperative: IT infrastructure and operations business management processes mature by becoming more formal, rigorous, integrated and service-centric.

Key Issue: What immediate actions should IT take to prepare for the planning horizon? Gartner recommends that in order to improve the I&O organizations it is essential that you fully comprehend where you are today in terms of organizational maturity. While there are many options to choose from to measure maturity, Gartner's IT Score for I&O (ITSIO) provides an interactive assessment that aligns closely with related research. ITSIO helps I&O leaders evaluate their maturity with respect to people, process, technology and business management, and establish a road map for increasing levels of maturity to service alignment and partner with the business. Beyond the initial assessment it is essential that you also create a plan for improving maturity over time, using the same tool to continually assess where you are with relation to achieving specified goals. It is also crucial to determine how far on a maturity scale you are willing to go as each progressing level contains more and more costs. It is essential to understand the costs vs. returns with progressing maturity. Action Item: Use Gartner ITScore to assess the current maturity of your I&O and review research to help move up the maturity stack.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 25

IT Ops Scenario

Key Issue: What immediate actions should IT take to prepare for the planning horizon? Bringing together a group of stakeholders from the different aspects of the business can provide a well-rounded perspective of how the I&O team is performing, and where the business sees potential areas for value proposition. The business governance team for the I&O organization will be a group of people who decide what processes the I&O group should be performing for the business based on the business needs of the organization. An integrated and unified governance framework for the I&O group, effectively covering all service assets and processes, is a key indicator of maturity. There is no standard list of members for the governance team. Rather, the team would be made up of representatives from the constituencies of the I&O organization. In short, the stakeholders for the business will be the representatives, which include business unit leaders, as well as relevant I&O management stakeholders. Additionally, the team does not have to be static. There is intrinsic value in having different representatives attend different meetings. For the representatives from the business, perhaps an individual may serve on the team for one business quarter, after which someone else takes over. This ensures fresh and different perspectives. With regard to frequency of meetings, there is no standard schedule to which one should adhere. Depending on how much guidance is needed, team meetings may start more frequently in the beginning of the process, and taper off to once a quarter, if that is sufficient. Action Item: Form the business governance team for the I&O organization using stakeholders from different aspects of the business who utilize the I&O groups services, as well as leadership from the I&O organization.
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 26

IT Ops Scenario

Key Issue: What immediate actions should IT take to prepare for the planning horizon? IT organizations seek to buy IT operations management (ITOM) tools in mini-suites in order to solve specific problems and reduce integration challenges and licensing costs, while vendors' ITOM frameworks of mini-suites continue to evolve. Rather than buy the vendor's complete suite offering or framework of ITOM tools, IT organizations often look to vendor mini-suites. Mini-suites are composed of a small number of tools that address either a defined need (e.g., end-user management, server provisioning and configuration) or specific IT operations processes (e.g., incident and problem management), or that are aimed at a specific user or buying center (e.g., network administration). Mini-suites can also reflect how vendors group, integrate, market and sell their products. IT organizations often expect mini-suites to be based on a consistent architectural foundation with integration between ITOM tools, allowing them (at a minimum) to share data. However, because continuing mergers and acquisitions have affected ITOM vendors' portfolios, it cannot be assumed that integration exists between all of their products, or that their products are based on a common architecture; degree of integration will vary by product. IT organizations can still face significant challenges integrating minisuites together, although the integration challenge is minimized as compared with integrating a wide array of best-of-breed point products from a larger number of different vendors. Vendors will continue to try to differentiate themselves from their competitors by more tightly integrating their own portfolios. Action Item: When looking at mini-suites to support the I&O architecture, be sure to implement pilot programs to thoroughly ensure compatibility and integration across the tools.

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 27

IT Ops Scenario

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 28

IT Ops Scenario

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. 2013 Gartner, Inc. and/or its affiliates. All rights reserved.

Patricia Adams BDCL3_103, 4/13 Page 29

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