An Overview of (IT)

Service Management
Updated April 2020

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This publication has been revised by Barclay Rae to bring the content up to date with current ITIL guidelines. Rae is an inde-
®

pendent management consultant, analyst, and writer in the ITSM Industry, with over 20 years consultancy experience involving
over 500 projects. He is a ITIL4 co-author and lead editor of the ITIL4 Create, Delivery and Support publication, co-author of
the 2016 “ITIL Practitioner Programme,” plus a contributor to SDI standards and certification programs. Rae has over 30 years’
experience in IT and is also currently operating as the CEO of ITSMF UK. ITIL is a registered trade mark of AXELOS Limited. All
®

rights reserved.

Note to Readers

This publication highlights the key elements of the ITIL Service Design publication and includes commentary on im-
portant concepts from BMC and ITIL experts.

BMC Software, the BMC Software logos, and all other BMC Software product or service names are registered trade-
marks or trademarks of BMC Software Inc. All other registered trademarks belong to their respective companies.
Copyright © 2020 BMC Software Inc. All rights reserved.

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Introduction

This document provides a generic overview of framework, which has existed as the predominant
service management – IT Service Management global ITSM framework since the early 1990s. ITIL
(ITSM). ITIL and ITIL4 are the most used and high- has had 3 major previous versions, the last of which
profile frameworks that deliver ITSM. (ITIL v.3) was initially released in 2008 and updated
in 2011.
The core concepts of service management have
existed in wider business areas for some time – For this new version (ITIL4) of the framework,
ITSM has some specific applications and area of Axelos (the owner and authoring organisation)
focus, however, service management is a universal gathered subject matter experts from around the
concept. globe to ensure greater alignment and integration
with modern day working practices, methodologies
The future development and implementation of and standards, including DevOps, Agile and Lean
ITIL and ITSM will also continue to grow into areas approaches, amongst others.
beyond IT and technology, with increasing adoption
of ‘enterprise service management’ (ESM). It is In early 2020 the second phase of books has been
useful therefore to have a clear view of the key published to support the ‘Managing Professional’
areas and concepts involved. training programme and industry certifications and
designation. This has included 4 new book titles:
This guide is an over-arching supplement to the
other 4 BMC ITIL4 guides released in 2020: • Create, Deliver and Support – a full set of
guidance for end-to-end service management
• ITIL4 Overview working, professionalism, tools, techniques and
value streams.
• ITIl4 Applying the Guiding Principles
• Driving Stakeholder Value – an approach to
• ITIL4 Value Streams define and clarify service expectations,
relationships and definitions of value
• ITIL4 Guide to Practices
• High Velocity IT – a bleeding edge view of new
ideas, contexts and thought leadership
ITIL4 techniques in relationship to ITIL

In early 2019 Axelos released the latest version of • Direct, Plan and Improve – a management and
the global best practice for IT Service Management, planning perspective on service delivery and
ITIL 4. This is a long-awaited update to the governance.

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In addition, new content has been created for each concepts and models defined can be used to deliver
of the 34 ITIL4 practices – this is available online excellence and drive maturity in any approach to IT
and will be updated dynamically. The Practices Service Management.
are a development of processes – so a practice
is a process plus people, skills, capabilities, work ITIL 4 is a significant development from previous
procedures, governance etc. versions, although much of the detailed ‘practice’
content remains in a recognisable form. The
The 4 book titles all refer to the 34 practices and context and positioning of ITIL has however
how these practices are used in various different developed as a strategic and unifying element
contexts and by different stakeholders. across the business and technology landscape.

ITIL 4 recognises the focus of modern IT The approach has changed to ensure that ITIL
organizations on digital transformation, customer meets the needs of a modern digital based service
experience and the drive for service excellence. management workforce. This guide provides
The framework is designed to offer practical generic guidance on key service management
guidance to any organization looking to understand concepts and artefacts, independent of
how to adopt and apply a best practice mindset frameworks.
and approach to their IT Service Management
capabilities.

ITIL 4 is specifically designed to address the needs

of all verticals and levels of maturity, whether an
organization be high velocity in nature, steady
and stable evolving through organic growth. The

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Service Management –
Introduction and Value
Service management is the business activity of ‘Sustainable’ implies that this is not just an ‘ad hoc’
delivering sustainable services, applied in technical or ‘one-off’ activity – the delivery is demonstrably
or non-‘business’ areas. In short, business practices consistent, accountable and repeatable, plus this
applied to technical teams. also is a valuable and efficient and/or profitable
activity.
Service Management – A set of
organizational capabilities for
enabling value to customers in the
form of services (ITIL4) Example – the rail industry. This was initially focused
on developing new forms of transport and methods of
delivering customer value through journeys, levels of
By ‘Services’ we mean a number of things –
comfort and speed etc. Over time this became a global
internal business capabilities, external products
service industry, whereby people use trains for varying
to customers, specific pieces of technology, and types of travel for work and leisure.
‘bundles of systems and applications that go to
There is still a need for engineers, drivers and other
deliver various aspects of organisational work. IT
technical people to run the railways, however most of the
Services range usually from physical PCs, mobile other business roles involved are service management
devices, phone printers and laptops, to virtual roles – to sell tickets, check tickets, manage safety at
services like access, development, applications, stations, build timetables, sell food and drink etc. These
software, connect-ability, data, analytics, reports roles and activities form part of the overall experience and
and of course, support. help determine the success and value of the service.
IT is now also at a stage where basic levels of delivery are
By ‘delivery’ this includes design, build and expected, and the roles and activities involved are there to
implementation as well as ongoing operation – support users as people as much as to provide the
it’s a joined-up cycle. Service management is an technical capability. Service management supports
technical and business capabilities through expectation
end-to-end activity that involves a ‘supply chain’
and performance management, customer experience and
of activities, from idea to reality, from demand to
value demonstration.
value.

Also, whatever it is that is being delivered, this

requires more than just a technical capability –
there is also a need to co-ordinate and manage the
consistency, suitability, quality and success of the
service, in order to provide business continuity and
sustainable performance.

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Traditional perception and application ITIL4 has been clear that these misunderstandings
of ITSM must be removed and the true nature and value of
ITSM must be clarified. Service delivery is usually
The way that (IT) service management has a dynamic and ever-changing environment, and
traditionally been applied has been to focus on service management must be able to reflect this.
delivering support, through processes and reactive
work. However, frameworks such as ITIL have New ways of working like Agile and DevOps also
always included reference and guidance across the highlight the need for flexibility, contextual working
whole (development and operations) lifecycle. and people focus. ITIL4 has been created to
Despite this, support has been the main point meet these challenges and to provide an inclusive
of focus and the area mostly adopted by the approach for all involved in creating, delivering and
operations community in the IT industry. supporting (IT and business) services.

There has also been a tendency to see ITSM and

ITIL as a ‘process’ framework. This has limited the
perception of what ITSM actually is, and the value Value and ‘co-created’ value
that should be derived from it, particularly in more
recent times, when there has been more focus It is vitally important that any organisation that
on ways of working, flexible and human-centred carries out service management and delivers
activities. services has a clear understanding of the value that
is expected and required from that service. Value is
Additionally, as ITSM has been viewed in this a term that requires clarity of definition:
way, primarily though the lens of a ‘process-
based’ approach’, ITSM has also been seen as Value – The perceived benefits,
prescriptive, rigid and doctrinaire. To be clear, this usefulness and importance of
has never been the goal or approach from ITIL,
however, due to many poor implementations and
something
misinterpretation of the ITIL framework, this image
Value does not simply equate to cost. The purpose
has persisted.
of using any service is to achieve some beneficial
outcome – complete a task, sell a product, transfer
As an approach for people working in IT, ITIL has
funds, update records, etc. ‘Value’ should be
been taken to be the ‘way to do things’, ‘ITIL says
understood as the expected benefit(s) received
so we must do it this way’, a swiss army knife rather
from using the service.
than a toolbox.

However, the idea has always been to use ITIL as a

guide rather than an orthodoxy – i.e. to ‘adopt and
adapt’, and not to blindly be followed by the letter.

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So, a key element in good service management party ‘to’ the other – value comes when users
involves actually discussing and agreeing what this consume the service provided by the (IT) delivery
value actually is with the customer or user of the organisation – value is ‘co-created’ by stakeholders.
service. Service management requires agreement
on the quality levels of service that are required and As a consequence, all parties must have a common
expected, in order to put targets and measures in and agreed definition of what the value outcomes
place, to track and measure success or otherwise. are, the quality levels, costs etc. Engagement,
In most cases the service expectations cannot collaboration and good relationships are therefore
simply be defend by the delivery organisation – this key elements in effective service delivery.
must be done in conjunction with those that are
using and paying for the service.

ITIL4 has developed the definition of value to CIO / Executive level value
include ‘co-creation’ This is a new and hugely
important distinction from previous definitions. Ultimately service management should not only
improve the quality and effectiveness of work, it
should also be able to present valuable information
and analytics on performance and capability to
leadership, to support good decision-making.

The concept is simply that, on their own, the

service components (in IT – Infrastructure, access
devices, networks, software), plus the providers This is not simply about e.g. how many people to
of these components and services, do not deliver employ in support roles or which tools to use, but
value. also how to prioritise new work and tackle strategic
issues that require governance, financial support,
Value is created when these (service) components reflect customer experience and also develop
are accessed and used. Service value is created sustainable and long-term business continuity.
when services are used by customers. This is not
a single linear transaction, that is ‘done’ by one

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To simplify service management down to core This may be despite some well-defined
objectives from a strategic perspective; ‘processes’ being in place in these organisations.
These practices need to be linked to business
1. Are we delivering on expectations? Is the expectations, based on discussion and agreement
service organisation able to meet the – and often are not, simply taken from some
expectations of the organisation’s business and standard generic SLA.
customers that are served. This requires an
understanding of the expectations, plus a clear SLAs must be ‘living’ agreements that are relevant
set of resources, tools, practices, measures to the businesses that they relate to.
and processes place in order to meet these
expectations. Working back from these 3 objectives provides
clarity on the goals and requirements from service
2. Can we demonstrate our value delivered? Can management:
we demonstrate the value that is delivered
through the services delivered. This requires 1. Are we delivering on expectations? This
suitable measurement and reporting in place requires customer engagement, experience
to identify that the expectations are being mapping, service level definitions, reporting
met - or not. This also requires presentation of and tracking defined and in place to manage
the performance data in a manner that can be consistent levels of service, practices to
easily understood and used as input to decision maintain suitable levels of business continuity
making. etc.

3. Do our customers agree that we meet their 2. Can we demonstrate our value? This requires
expectations? This involves achieving ‘trusted suitable governance and direction in place to
partner’ status with customers and users of drive actions and record actual performance
the services. Whereby there are effective against the expectations – not just against
relationships in place across all stakeholders, processes but the whole expectation
based on clear shared understanding of
business needs and service delivery. Data 3. Do our customers agree that we meet their
and performance reporting is accepted and expectations? This requires mature relationship
understood at a narrative level and used to management, service level management,
support decision making. reporting, analytics and clear, business-
focussed presentation of information
The above objectives can be used to drive
successful service management. From experience,
many organisations are often not able to meet
these objectives, even to be able to answer these
as simple questions – e.g. able to say for sure
whether they are really meeting their business and
customer expectations.

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Ultimately the value of (IT) service management
is to provide some strong proven guidance on how
to manage work – essentially providing business
practices that support sustainable ways of working
for technical (and other) teams.

In addition, the output from these ways of working

helps to identify clear priorities and actions that
are required to ensure that the organisation is
focussed on doing the right end best thing for its
long term benefit.

It can sometimes be difficult to see the ‘wood from

the tress’ and identify clear priorities in complex
technical and organisational structures – service
management is there to provide a clear focussed
and dynamic vision to ensure that the organisation
is working in its own best interests, - consistently,
profitably, efficiently, flexibly and sustainably.

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Service Management –
Core Functions

Service Management is the chain of activities, » Provides a great opportunity to manage

support and escalation that are delivered by IT customer expectations and service
and other service provider organisations. This improvement
delivers consistent, efficient and accountable
services and service experiences to customers, The quality of the service desk is a clear
by using repeatable processes, best practices and indicator of whether (or not) service
governance. and support (and Customers) are valued
by the organisation – i.e. via investment,
There are some key points to remember in order empowerment, resources and visible support
to succeed with ITSM: from management.

• Service Desks (See Service Desk Notes below) • ITSM is not just about Service Desks – although
- these are the single point of contact (SPOC) these obviously are often the focal point of
teams that support services by responding to these activities. Most of the processes involved
and resolving interruptions to services require a ‘Supply Chain’ of collaboration and
(incidents) as well as processing requests for support from all teams. A good Service Desk is
new and changed services (request and change only as good as the teams that are working to
management). In ITIl4 this is described as a support it.
practice – so this may be a virtual approach),
Service desks are often the central point of • Processes alone will not deliver success – these
focus for service management practices and an don’t happen by themselves and good
escalation and communications hub to co- management and governance are essential. It’s
ordinate and manage customer response. important to be clear around how each process
works, the responsibilities for each team and
THE SERVICE DESK: individual in delivering this, plus how this will be
monitored.
» Is the ‘Shop front’ / flagship for the service
organisation • ‘Best Practice’ should always be regarded as
advice and guidelines rather than slavish
» Is an engine for service quality and doctrine – each organisation must define its
improvement own adaption and implementation of these
guidelines. So whilst there may be standards
» Needs support and collaboration from and best practice guidelines that can be used
across the organisation to do a good job for a general model, successful service
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 improvement will result from a specific and Problem Management – the practice used
bespoke approach. to avoid, remove and minimise incidents and
recurring issues, by identifying trends and taking
• A common, consistent and collaborative actions to remove root causes.
approach is required across teams for success
– it’s all about teamwork and shared goals. Problem management is the unknown underlying
cause of one or more incidents. A condition of
the IT infrastructure that is identified through
incidents with similar symptoms or a significant
Key Practices incident that is indicative for an error of which the
cause is not yet known.
Continual Service Improvement – the focus of
all ITSM activity must be to deliver quality services Request Management – this is the practice to
in an environment of continual improvement. accept, approve and deliver user requests for new
This is achieved by measurement as a means equipment or standard services, usually provided
to drive incremental changes, applying good via an online portal. The automation of this
problem management and also using knowledge process can help to speed up delivery of requests
management to improve resolution times and which can often be a bottleneck for users.
avoid re-work.
Change Management – the practice to control
and manage any changes to the services, by
assessing the risk and potential impact of
downtime, avoiding carrying out changes in critical
business periods and minimising any impact of
unplanned changes.

A Change is any action resulting in a new status

of one or more of the Configuration Items. The
addition, modification or removal of approved
Incident Management – the practice of restoring supported or baselined hardware, network,
services that have failed or been interrupted from software, application, environment, system,
normal operations, ideally done as quickly as desktop build or associated documentation.
possible and in line with business priorities.
Change Advisory Board (CAB) is a regular meeting
An incident is any event which is not part of the group that discusses proposed changes and
standard operation of a service and which causes, assesses the risk and impact to business services.
or may cause an interruption to, or a reduction in, This is used mostly for high impact or emergency
the quality of that service. changes. The CAB has been much maligned in
recent years and is seen as a ‘blocker’ in many agile
and devops circles. If CABs have been set up and
managed in a doctrinaire manner, then this may be

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true. However, CABs are meant to be advisory not A configuration ITEM (CI) is a component of an
approval boards – most changes can and should infrastructure – or an item, such as a Request for
be automated – and major changes need to be Change, associated with an infrastructure – which
discussed. Good CABS are valuable events – if is (or is to be) under the control of Configuration
appropriately managed. Management. CIs may vary widely in complexity,
size and type – from an entire system (including
A forward schedule of Change - contains details of all hardware, software) to a relatively small
all the changes approved for implementation and component like a switch or access device, phone
their proposed implementation dates. In simple or PC.
terms a change clander is a very useful artefact to
ensure that changes don’t clash with key business
events – ideally this should be transparent and
publicly available. Service Desk Notes

Service Level Management – this involves A Service Desk or support service is the ‘shop
defining business services and service levels to set window’ to a service organisation and can strongly
clear targets for delivery and using these targets influence customer perception of the overall
through reporting as a measure of success in service, regardless of the quality.
Service Delivery.
A great service experience can elevate average
An SLA is a written agreement between the service service delivery to a high satisfaction level,
provider and its customer(s) that documents whereas of course a poor service experience can
agreed service levels and key service targets, the actually ruin perfectly good product or service
responsibilities of both parties and how service delivery. So it’s vital that this operation is run with
performance is to be measured. professionalism and quality in mind.

Operational Level Agreements (OLAs) are There are several factors that need to be
agreements between the first level support team considered to make your service desk successful:
(e.g. the Help or Service Desk) and all other
internal support teams who are required, and 1. People – the people running and operating
have agreed, to deliver their services to enable the service need to be skilled, supported and
the successful achievement of the Service Level empowered in line with how you want the
Agreements (SLAs). service and your business to be presented
and perceived, e.g. presenting a competent,
Configuration Management – this involves positive, motivated, professional and
defining and maintain records of assets, committed image.
technology, people and other organisational
details in order to map and asses relative risk and 2. Service Model – it’s important to clearly define
interdependence, as well as just keeping good how the service works, in order to deliver
accountable records. consistent and accountable service quality. So
you need some processes, work instructions

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 and accountabilities defined and documented 5. Tools – you need technical systems to help you
(even just in summary form). monitor and control your customers’ services,
in addition you need appropriate management
3. Value Stream – Every Service Desk is only as tools (e.g. for logging, tracking and reporting)
good as the organisation behind it, so the to help you provide a consistent, accountable
service it delivers needs to be supported, and professional service.
promoted and appreciated by other parts of
your team and organisation. We can think of What tooling categories will be useful?
this as a ‘n end-to-end ‘value stream’, whereby
other teams or technicians provide support The value of good categorisation on your tool
and relevant skills at key times to make the cannot be over-estimated, for 2 reasons:
Service Desk a seamless and effective service
to customers. 1. In order to ensure that you can deliver the
most efficient and professional service and
4. Services – It’s also essential to be clear on what support as a live process, and
technology and business services are being
supported and provided by the Service Desk. 2. To provide useable input to reporting and
Clear expectation must be set firstly for the metrics – which can help you to develop quality
Service Desk service itself (available times,
telephone response, etc.), then for the actual There are some simple steps that you can take to
types and quality levels of technology support ensure that you get the most out of using the tool
services and how these are delivered, e.g.: and to help develop quality.

• Service Definition – what the service is e.g. It’s useful to use separate categories for Logging,
financial applications, network monitoring, Tracking and Closing
user support etc.
Logging – this should focus on the customer and
• Quality Levels – any quantifiable metrics on the impact and severity of their issue. This can also
what is being delivered, e.g. service include details of the service and technology that is
availability, affected. This helps to prioritise and to ensure that
the issue is properly understood and classified
• Support details when things fail – response
and fix SLAs, frequency of updates etc. Tracking involves status and ownership – who has
the issue and what has and is happening with it –
• Value – what are the key outcomes that the this helps to ensure ownership and accountability,
service delivers to the customer, e.g.: to plus also visibility of the issue, to also avoid
process financial transactions, provide issues disappearing into a black hole – so this can
online retail, provide security etc. also include SLA targets and identify potential
breaches.

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Closing requires assigning suitable information to What do service desk and support staff
the call that helps to understand and identify why need to know?
it happened – so this could be completely different
from the logging category. In order to provide a professional and competent
service and image, Service Desk staff need to have
Service Desks can learn and benefit from the the following:
examples of fixing and resolution supplied by their
own support groups – so if the issue happens Clear definition and documentation on the services
again, they can react more quickly and effectively. provided and supported o Information on who the
It’s essential to make sure that the information in a customers are, their commercial /contract details
closed call is accurate, appropriate and re-useable and their expectations

Also: Try to keep the number of categories and Definitions of the levels of support that they are
sub-categories as small as possible – in order to expected to deliver for each service – i.e. simply
provide useful and manageable output. Plus, keep log and refer, fulfil requests, answer queries,
control over how new categories are added – there deliver customer advice and tips, or resolve
should be a good reason for adding any new ones. technical issues etc… o Technical skills and
capability to deliver these levels of support
How can we use knowledge to improve
our service quality? Access of knowledge and documentation to
support these levels of support
Once you have created a particular fix or piece of
information about how to support a customer, o Clear expectations and objective targets on
obviously this can be re-used to provide a faster the expectations of their performance – levels of
response and resolution if it re-curs. This can save support, customer contact and communications
the customer and the service operation time and skills, expected volumes o Feedback on
money (i.e. if service is restored more quickly and performance – how individuals and the team are
at the first point of contact), so all the information performing – are we doing a good job and how can
that is entered into a service management system we improve?
should be considered as potentially useful and re-
useable. Service Desk and IT Support is no longer just about
providing technical skills – we need to understand
To do this you need to consider how this our customers’ business needs and be aware of
(knowledge) will be captured and managed – how we interact with them. Expectation from
ideally you need a pro forma for a ‘knowledge customers is now heavily driven by their own
article’, such that these are produced in a experiences using mobile and personal technology.
consistent and useful way, particularly so that they
are relevant for 1st line/service desk staff

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So ‘Customer Experience’ is a key concept that any The best feedback is always to talk to your
service and support organisation must consider – customers regularly in a way that shows that you
i.e. ‘what is it like dealing or doing business with us’ understand their issues and are trying to improve
– this is now a key differentiator in the industry. your service – i.e. ‘so how can we improve the
service?’
We also need to ensure that we can demonstrate
that we understand what is important to our So Relationship Management is absolutely essential
customers – hence the need to define, deliver, as an ongoing conversation that can identify issues
manage and report on ‘services’ rather than just and opportunities, whilst maintaining a regular
‘systems’. eye on service quality and customer perception
- ‘Relationship’ is more important than individual
So whilst there are many ‘best practice’ SLAs.
frameworks and methodologies out there that can
be used – the key focus must be on getting closer From the survey perspective, picking up regular
to your customer and their business - that’s the feedback around or after issues is a useful
real best practise. barometer of service – keep questions very simple
and short and simply focussed on the overall
How can we get useful feedback? quality of service and e.g. advocacy – so e.g.
‘How would you rate us out of 10’ and ‘would you
The trend in terms of user/customer feedback is recommend us to your friends…?’
now moving away from cumbersome ‘Customer
Satisfaction Surveys’, to a more ‘light touch Ultimately your Service Desk will provide the
approach using regular feedback and simple flagship point of contact for your organisation,
assessment-type surveys. so it’s worth spending some time and thought on
making sure that you have the right foundations in
place to make this work

15
ITIL 4 Definitions

Service Management – A set of organizational Outcome – A result for a stakeholder enabled by

capabilities for enabling value to customers in the one or more activities
form of services
Utility – The functionality offered by a product or
Service – A means of enabling value co-creation service to meet a particular need
by facilitating outcomes that customers want to
achieve, without customers having to manage This is more easily understood as considering “what
specific costs and risk the service does”

Value – The perceived benefits, usefulness and Warranty – The assurance that a product or
importance of something service will meet agreed requirements

Product – A configuration of an organization’s This is more easily understood as considering “how

resources designed to offer value to a customer the service performs”

Organization – A person or a group of people Service Offering – A formal description of one

that has its own functions with responsibilities, or more services, designed to meet the needs of
authorities and relationships to achieve its a target consumer group. A service offering may
objectives include goods, access to resources and service
actions
Customer – A person who defines requirements
for services and takes responsibility for outcomes Service Relationship – A cooperation between a
from service consumption service provider and a service consumer. Service
relationships include service provision, service
User – A person who uses services consumption and service relationship management

Sponsor – A person who authorizes the budget for Service Consumer – A role performed by an
service consumption organization in a service relationship to consume
services
Stakeholder – A person with a (vested) interest in
the service provision, this can include shareholders, Service Provider – A role performed by an
executive, customers and users etc organization in a service relationship to provide
services to consumers
Output – The tangible or intangible delivery of an
activity

16
 Service Relationship Management – Joint
activities performed by a service provider and
a service consumer to ensure continual value
co-creation based on agreed available service
offerings

Output – A tangible or intangible delivery of an

activity

Outcome – A result for a stakeholder enabled

by one or more outputs

Cost – The amount of money spent on a

specific activity or resource

Risk – A possible event that could cause

harm or loss or make it more difficult to
achieve objectives. Risk can also be defined as
uncertainty of outcome, and can be used in the
context of measuring the probability of positive
outcomes as well as negative outcomes

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