2013 ITSM Industry Survey Results

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Navvia launched the ITSM industry survey with the goal of assessing the state of ITSM implementations and using the results to identify key trends and opportunities for the ITSM community.  Over the last 8 years we have seen the rise of SaaS, the growth of ITIL, and increased management support for IT Service Management as a whole.  So what does 2013 hold in store? Watch this video to find out.

  • Where the ITSM Industry is going.
  • What trends are emerging.
  • What’s new and exciting with best practices.
  • Tools and frameworks.

Cecile: We’re going to get started with today’s webinar on the 2013 ITSM Industry Survey. Today we’re going to do a review of the results from the survey which was completed between January and April of this year.

My name is Cecile Hurley. I’ll be one of your hosts for today and joining me is David Mainville, who’s our CEO and cofounder. Just as we’re getting started here, I’d like to do just a little bit of housekeeping.

David: Thanks. Can you hear me fine?

Cecile: I can. Thanks very much.

David: Awesome. Hi, my name is David Mainville and I'm also part of the Navvia organization. I just want to take a few moments to introduce who Navvia is before we get started. There's a lot of new names here on today’s webinar so I thank you all for attending today, and I just wanted to spend a couple of minutes bringing you up to speed on who we are what it is that we do before we get into the meat of today’s presentation.

We’re a software and services company that’s focused heavily in the IT service management space. We’ve been in business for over 14 years and during that time we've helped a lot of organizations successfully implement service management programs as well as service management processes and tools.

We have a number of things that we offer as a company. The first thing I want to talk about is our Navvia business process management platform. That tool is in essence a BPM tool, a business process management tool, that allows you to survey the maturity of your processes, design, document and share processes with your organization, verify those processes are being followed, and also getting access to a rich curriculum of service management training. Those are available in our four modules, which are the survey module, design module, verify and learn.

These four components really comprise the basis of continual service improvement, understanding where you are, designing to make it better, verifying that you're following the rules and also providing a good foundational set of knowledge for all your constituents in terms of IT service management. The Navvia platform is a SAAS application that’s delivered in the subscription model, so for anyone with a service management program or any consulting organization that’s looking at providing assistance to others, this is a great tool full of templates, questionnaires, process designs, and a great process modeler. Check it out if you get a chance.

We are also a consulting company and we've been doing consulting for the 14 years we've been in business, and we've helped organizations in virtually every sector, be it financial services, healthcare, higher education and more, with their service management programs. We’ve helped in a variety of ways, through virtual consulting, where we provide mentorship and guidance on an as needed basis remotely, or on site consulting, from everything from setting up the strategy for your service management program right through to process assessments, design and ultimately the implementation of your processes in a service management tool.

We also have a complete curriculum of IT service management education and we can bring that education directly to you on site and much of that education is also delivered through the Navvia business process management platform as part of the subscription service.

That’s who we are. I want to get into the meat of today’s survey and we’re going to do something a little interesting here today, at least I think it’s going to be interesting. What we’re going to do is we’re going to get a little bit of interaction from the audience. I've taken a subset of questions from the survey, so what I'm going to do is take that subset of questions and throughout the course of the presentation this afternoon, what I'm going to do is pull the audience for their current input and feedback, then I’ll compare those results to what we actually collected from the survey we ran earlier this year. I think that'll be interesting because we’ll get a sense of where people are today in terms of their program. We’ll be able to compare that back to the survey that we conducted earlier this year. You'll be seeing a popup every now and then asking you to provide a response to a question, so I encourage you to do that and you'll be able to see your responses along with everyone else’s interactively in real time.

This is the 8th annual IT service management survey. I'm surprised we've been doing it for that long but it’s amazing because it’s allowed us to see things change. We did the survey at one point where people didn’t even know what SAAS was; now we’re seeing SAAS, software as a service, as one of the hottest areas in IT service management. This ability for us to look back into time and look forward in terms of the surveys that we conduct each year I think gives us great insight into what's going on in the service management space and we’re so pleased to be able to share that knowledge with you, not only in today’s presentation, but you'll be able to access the complete results of the survey up on our website within a day or so.

The survey’s structure, we looked at some areas that we believe were very critical to a service management program. The first one, how you're organized. Whether you have executive support, whether you have full time resources; basically what kind of organizational structure have you put in place. Then we looked into the processes; what processes are you working on; what process frameworks are you using; are you governing your processes, as another very important aspect. Governance is key because that keeps your processes healthy and vibrant as well as being able to support audit requirements. We also looked at ITSM tools to see what were some of the hot tools or some of the hot areas that people were actually considering or implementing in their environments, and then lastly, we looked at training and certification and what organizations were doing from that perspective in respect to IT service management.

This year’s survey included 179 completed results representing 12 countries, 12 industry sectors and 8 different job functions within those various companies. We had 179 people complete the survey and 168 people provided some detail demographics upon completion. You can see the bulk of the responses came from the USA, the second largest set of responses came from Canada, the United Kingdom made up the third largest group of responses, and the other countries, the other remaining eight countries basically were spread amongst the last 3%.

From here you can see the various industry sectors, so there was fairly good representation from financial services, healthcare, IT outsourcing, government, manufacturing, education, and the balance making up a variety of different sectors. In terms of the type of people that responded, we saw a fairly significant response from management, also practitioners, directors, consultants, VP level folks, senior level CSOs, as well as the bulk of the other job description made up the last piece.

Before we get into some of the detailed results of the survey and get into some of the interactive parts, I want to just focus on some of the trends that I saw as I went through and actually analyzed the data. One of the things that I am very encouraged is that companies are continuing to dedicate resources to IT service management. One of the things that I often thought was problematic about ITSM is in many organizations it was something that was done as an afterthought, or as I like to say, off the corner of someone’s desk, as opposed to having some dedicated resource. It’s really great to see that people are dedicating the resources, the finances, and the budget, towards having a service management program.

What we’ve also seen that’s connected to this is the growth of the service management program office, so if anyone out there has one of those, just type it in your chat panel and it'll be interesting to see. The growth of the ITSM program management office, sometimes they call it the ITSM competency center, that’s been just a great way of bringing a core group of knowledge together to support those other areas of IT that need to implement good core service management processes. The ITSM PMO is something we’re also seeing on the uptake.

SAAS, the acceptance just continues to grow year over year. There was a time when it was virtually unheard of for anyone to look at. I understand it’s not for everybody and it has its own areas depending on the type of organization you're in and your attitude towards security and the type of information you put into it. It’s not for everybody but what we are seeing is the acceptance of SAAS continuing to grow.

Some of the key drivers behind that was time to market; the ease of getting some up and running, combined with the ability to basically outsource the management of that system to your provider, so you're not managing servers, you're not managing all of the underlying infrastructure for your service management environment. SAAS continues to be hot.

I think one of the most important things that I saw from this survey is that from the last eight years for the first time I'm able to say that people aren’t just focusing on incident, problem and change. For the longest time, those were the processes that everybody seemed to be focusing on, but what we’re seeing is that’s really changing, and I see that as a maturing of the industry. We’re not only seeing that from our survey; don’t forget, we’re an IT service management company, so we see that from the perspective of our clients and the different engagements that we get involved in, but what I'm seeing right now is SACM and ITAM, service asset and configuration management along with IT asset management. For those ITIL folks out there, I understand that asset management falls under SACM, but a lot of organizations are separating of the two, treating ITAM as something different than SACM which they like to consider more as configuration management, so I do understand there's an overlap there, but I broke them out because some people are referring to them as separate initiatives within their organizations. This is really gratifying because SACM is really at the heart of taking that next step towards ITSM maturity allowing you to define those relationships between services and infrastructure components.

ITAM is a very hot topic. People are looking to once again get control of their IT assets from a complete life cycle perspective. I call it ‘cradle to grave,’ but from the initial procurement of an asset, through the provisioning of the asset, all the way through to basically the sun setting of an asset. ITAM is hot again. After SACM and ITAM, service requests, service catalog and service level management are really the next level of processes that are gaining a lot of ground. Quite exciting to see that.

On a disappointing note, the one thing that has been consistent through all eight years is that governance and continual improvement of the IT service management environment remains weak, and again, it’s a little like buying an exercise machine and leaving it in the corner of your bedroom and not getting any use out of it. These processes are important but I'm not sure they bring you a lot of value unless you put the good governance into ensuring that you're getting them done.

I promised a little bit of audience participation here today, so what I'm going to do is this is a question that was actually asked within our survey that we sent out, I'm going to now get Rafael, my assistant here, to launch the poll, so you should see the quick poll up on the screen. Respond to this poll from your own perspective and then what we’re going to do is compare your responses to what we saw in the survey that we conducted earlier this year. If you can go ahead and do that. Cecile, what are your thoughts on this aspect of IT service management?

Cecile: I think it’s really important that you have support not only at the grass roots level but at that vice president, director, and CXO level. It usually starts off at a grass roots level and when you get that executive buy in, it’s really gratifying and really can help you move your program up to the next level.

David: Well said. I think coming at it from both aspects, the senior level and the grass roots is where your program is really going to gain a lot of momentum.

We've got pretty much the bulk of people responding, so according to this group of people on the line here today, we had 15% of the people at a president level, 26% at the CXO level, 21% at the vice president level, 36% director level, and the remaining 3% in others. A lot of senior support on this group of people today. What do you think, Cecile? Surprised at that?

Cecile: I think that’s great.

David: Let's see what our survey says.

Here’s what we saw in the results of the survey that we ran. Executive sponsorship remains strong in the area of IT service management; 69% of the respondents at VP level or higher support for their ITSM program. As Cecile was saying earlier, without this executive support, the program can only go so far. It’s very difficult to break down any cross functional barriers within an organization unless someone from the top says this is important. It’s also very difficult to have clients if nobody’s making this a priority in the organization.

I'm going to ask one more question here in terms of organizing for service management, so we’re going to launch another poll asking how you as a group of individual in the audience are going to organize the support service management. Do you have a dedicated organization with full time resources? Do you have a dedicated organization but it’s populated with mostly part time resources? Do you only have part time resources and it’s something you're doing as a side to your job, or do you have no resources allocated in your organization? Cecile, you worked at a pretty large organization with a service management program. How were you organized back in the day?

Cecile: When we started our service management program, we actually did have a dedicated service management program office and it was really able to get us kick started in the launch of the program, starting to educate people, starting to identify process owners and hold those weekly and monthly meetings and provide metrics and reports to people. Overtime, the focus of the organization shifted and the program office was shut down and pretty much as soon as that happened, the focus was lost. Having a dedicated organization I personally think is very important.

David: Did you think that the benefits of ITSM to the organization were lost as well? Did incidents start becoming more problematic?

Cecile: Absolutely. Things pretty much fell apart after that point.

David: Let's see what the survey has to say. The results from this group of folks, it looks like almost 60% of the folks on the line have some form of dedicated organization. That’s quite good. 28% have part time resources only and 13% have no resources allocated at all. I'm sorry to hear that for those folks out there because service management is hard enough to do when you have the resources. Being resource restrained is always a challenge.

What did our survey show? Our survey showed that 70% of the respondents have a dedicated ITSM organization. 56% of those an organization will full time resources. If I had to drill down a little bit deeper, what we’re seeing again is that executive support is not only essential to an ITSM program, but support seems to remain strong with the people who took the time to respond to our survey. The proof really comes in the form of committing resources. 70% of the companies have a dedicated ITSM organization. 56% actually have full time resources. I’m an old timer when it comes to service management and I remember the day when I was working in the mainframe environment, for example, back in the 80s, you'd walk up and you'd know who the change manager and you knew who is responsible for releases and you could go to the folks who were responsible for configuration management and I like to believe that some of those environments were the most mature, resilient, highest availability environments that I ever worked with. Dedicating something, placing focus on something, is where you're going to see results, and having that dedicated focus is so important.

56% of the organizations have full time resources, 22% part time and 7%, which is a slightly lower number than what we saw in the line here today, have no resources at all allocated to ITSM. Reaching back out to the audience for a moment, I want to ask a question from the audience for your participation around ITSM assessments. Has your organization conducted an ITSM assessment in the last 18 months? We’ll launch that poll. In the meantime, Cecile, I know you’ve been involved in some ITSM assessments over your career. One of the things I think are really critical with an assessment, it’s a great catalyst for change. It’s a way of going out and uncovering areas of opportunity, turning over those rocks, seeing where we can make improvements; what do you think about that? Have you gone through some of those experiences yourself?

Cecile: Yeah. I have and I do understand your comments. One of the biggest benefits that I saw from the assessments that I participated in was just getting people to talk and getting feedback from folks and making them feel like they were involved in the process that was going on and that they had a voice and they had the opportunity to contribute something.

David: And that’s so critical to implementing any kind of organizational change. If people do not feel like they have a voice and if people don’t feel they're a part of the process, they're not going to give you your support. I always viewed assessments to have more importance from the aspect of getting buy in and acceptance for a program as opposed to really finding out what the score is. A lot of people focus on the score; my process is three out of five, but really, I think the underlying value of an assessment is really getting people motivated, excited and on board with the service management program.

We've got the results back here. Based on the audience vote, it looks like 48% have conducted an ITSM assessment in the last 18 months and 52% no. That’s pretty much 50/50 and that’s very much in line with what we saw from our ITSM industry survey, the survey that we launched earlier this year.

ITSM assessments are not only essential for getting that organizational buy in, but they're also very important to help identify priorities and to lay out a roadmap. From a roadmap perspective, what we learned from the survey was that 49% of the respondents have conducted an assessment in the last 18 months. Only half the organization actually conducted one but virtually all of them found it to be a value. 48% of those did a form of self assessment while 42% used an outside firm. The interesting thing is the Navvia platform has a great component in it called the survey module which can help you do your own assessments and be part of your service management program. An assessment really can lay out that roadmap that can take you from the current state to a future state, and 57% of the respondents have documented an ITSM roadmap. Coming out of that, a lot of them found it to be a value, the vast majority did, and about little over a half of those people actually put together a roadmap. 88% saw value in having that road map and in terms of time horizon; most of the folks put together a 12-24 month roadmap.

I think that’s about right. You probably don’t want to go much further than that. Too many things change; technology’s always changing, the organization’s always changing, but to lay out a plan to say ‘this year, we’re going to focus on incident problem and change, then we’re going to focus a little more on service catalog and service level management.’ To set up those goals, and to put them in place in a way that are obtainable, that are measureable and are not setting yourself up for failure. I actually saw this in the survey responses; a number of people, when I asked the question ‘what processes are you working on,’ some of them talked about working on 9 or 10 of them simultaneously and while that may sound like a pretty cool thing to do, can an organization really bring that much change? Can you really probably implement 12 processes simultaneously in a large organization? Having a roadmap and laying those out with measureable goals that you in turn can be successful at and get further support for your program is a great way to proceed.

In terms of frameworks, which ITSM process framework are you using? Just launch this poll here. There are a number of frameworks. I think soon we’re going to have to eliminate a number of potential responses from the question because everyone seems to be leading in a certain way. Cecile, you’ve got your certifications, don’t you?

Cecile: I do. In my former life, we were doing V2 and then when our program was abandoned, that’s when V3 and the 2011 versions came out.

David: There you go. You got a challenge for you now. You can get certified using the education module of the Navvia platform.

Cecile: I have my certification in V3 2011 actually done through the learn module because my original certification was probably one of the very first classes that was done in Toronto in 1998, V2, but then I did upgrade my certification to V3 using the course at Navvia.

David: Not only do you work at the company, you're a customer of the company.

Cecile: I am.

David: I think we got all the responses in here. 12% of the audience has ITIL V2 as the framework they're working from, 93% has ITIL V3, and there are a number of folks using the ITPM. I know a little bit about ITPM because I was actually trained in it and I think it was a pretty cool and comprehensive framework for process management. Problems with proprietary frameworks is that they're not open to everyone and to get access to the framework requires you to purchase it and to purchases consulting.

Proprietary frameworks like the ITPM, we see 2% here using HP’s framework and 2% using MOF; seem to be a smaller proportion of the overall, and I think a lot of that is because of the proprietary nature of it and the fact that they are restricted to certain environments. In today’s world, we have much more heterogeneous environments where not everyone is a complete IBM shop or HP shop or Microsoft shop. But I do know that much of what ITPM was built on actually made its way into the ITIL framework. Same with HP’s proprietary framework; it was one of the first that came out. I'm not knocking these frameworks; MOF, great framework, but you're seeing a lot of overlap between those frameworks and the ITIL framework. I think the ITIL framework is really being driven just by its openness and the fact that there's so many vendors and different organizations, training organizations, consulting organizations, supporting it.

What did our survey say? No surprise. 92% of the organizations are actually ITIL V3 or 2011, and that’s actually up from 84% the year before. The year before, there were still quite a few more people on the V2 framework, but we’re seeing a steady shift over to the ITIL V3. When we do our consult engagements, there’s really no question; everything is based on the V3 ITIL 2011 framework. ITIL V2, 5%, and then a couple people using the HP or other frameworks. Some of those other frameworks are really hybrids, where people are taking aspects of various ISO, continual service improvement frameworks, and blending them with ITIL to come up with their own home grown approach, which I always find very intriguing and quite interesting.

Just to dive deep into the area processes, 97% of the respondents from our poll were using the ITIL V2 2011 framework. A number of the organizations were using hybrid, using such frameworks as Lean, CMM, SAE3402 as well as Six Sigma, some aspects of that framework as well, to build a hybrid that really met the unique needs of their own organizations. There were numerous comments from quite a few people; I found that interesting. A number of people really commented that ITIL was either not applicable or incomplete for their environment, meaning that they had to reach beyond the ITIL framework, and we at Navvia are huge proponents of the fact that best practices are not the law, they're not a religion, they're not mandatory; best practices are a guide, and if you can get your guidance from multiple areas, pull some guidance out of COBIT, ISO20K and ITIL and bring it together for your own needs, more power to you. There's nothing at all wrong with that. There's no such thing as being ITIL complaint, there's no such things as putting all your eggs in the ITIL basket, at least from our perspective.

73% of the companies are planning on implementing one or more processes within the year. That’s also interesting so there's a lot of work going on out there in terms of modifying, building, and enhancing; of those 73%, a lot of the people commented that these were actually refreshes. That’s interesting because we’re seeing that in our consulting practice as well. People went out and may have done a lift and shift; taken what they had in some old service management tool and plopped it into the new one, and expecting things to be better, and in reality, realizing that they just carried over the old process into a new tool.

We've seen a lot of folks commenting that there's refreshes going on, going back and cleaning up incident management and change management. I'm not sure if any of you out there have that similar experience but there is sometimes a lot of pressure to get a service management tool implemented quickly. Process takes a back seat and in the end it bites you because you have to come back and do it over. A number of those companies are actually looking at refreshes of their processes. And just to emphasis, people are really moving beyond the old incident problem and change. I believe that if you can only have three processes in the organization, those are the three because incidents make sure that things stay up, change makes sure you don’t bring stuff down, and problem let's you get to the root cause. Those are probably the three most important processes from my perspective and are foundational for everything else you do. It’s great to see people actually moving beyond that, moving into service asset and configuration management. Service request, putting more self service in the hands of the end user; service catalog and release, those processes were overwhelmingly the ones that people were working on this year, and I find that great. A lot more customer facing stuff if you notice, service request is very customer facing. Service catalog, obviously putting that list of services that IT provides in front of the user, as well as release and deployment from the prospective of getting new applications out to those users. A majority of the companies were working on multiple processes simultaneously.

Back for some audience participation. This is an area, governance, that I am particularly interested in. There are a number of reasons you may want to do governance. It could be from an audit requirement, it could be something driven by legislation and audit requirements that came out of [unclear 0:31:46]; there's a lot of reasons why people put governance around their processes. In many cases it’s to show evidence that those processes are meeting certain controls, in support of either regulatory frameworks or audit requirements. I think there's a great reason to do governance beyond that and it’s about keeping your processes healthy. When you document and design a process, you're really articulating what it is you should do. Governance is doing what you say, so say what you do, do what you say.

It’s this lack of governance that often causes organizations to slip back into bad habits; not recording changes, not doing adequate testing, making everything an emergency change because they don’t want to have to go through all the hassle of going to the normal process, they want to expedite it. These bad habits leave you open and exposed for failure.

From an audience participation perspective, do you have formal governance in place? Did you have some good governance in place where you worked previously, Cecile, before the change in direction?

Cecile: We did. As part of our service management program, we put formal governance in place and we had reached the point where we had a pretty good process running. The organization decided to embark on a very large ERP replacement project and so around the time that the service management program was abandoned, we kept a really good change process around the ERP implementation, but pretty much everything else fell by the wayside. It was very interesting to watch happen because that environment remained very stable and then only because the technicians were following good change processes in the other spaces did we avoid major issues but the changes we’re happening and they weren’t documented.

David: In terms of the response from our audience, 28% have defined, implemented and enforced governance. Those other aspects, defined but not implemented, you might ask yourself ‘why would you bother doing that,’ but believe it or not, 5% of the audience is that you did; you spent the time to define it but for whatever never got to the next step. Or you’ve done the opposite; you’ve actually implemented it but it’s not being enforced. There's some governance out there but people are not following up, they're not remediating any of the errors, it’s informational only and it’s not actionable. 41% has nothing in place, nothing to find, nothing implemented, nothing actionable.

This really maps well to what we got in terms of the results from our 8th annual survey. Only 29% of respondents have implemented and enforced governance, up slightly from 28% in last year’s survey. It’s been hovering in those numbers for the eight years that we've been conducting the survey and it really is interesting. I know a lot of people take service management seriously; the service management tool space is over $2 billion per year. A ton of people are getting ITIL trained, a ton of people are implementing processes, but a very low number of those folks are actually enforcing them. I do want to say that lack of enforcement and lack of governance could actually erode all that good work that you’ve done.

When you get a little bit deeper into the survey response, we got to the point of metrics, and metrics are one of the ways you can actually show whether or not things are under control. Only 30% of the respondents have actionable metrics, 18% had no metrics at all, 53% has the metrics in place but with little or no follow up. They took the time to write reports, put things in place, but really were not taking the time to act upon it.

Also from a governance perspective, audit often comes into the picture and 42% of the respondents have the processes audited and 65% of those were using a mix of internal and external auditors. If 42% of the respondents have their processes audited but such a low of people are keeping their house tidy, aren’t you just setting yourself up for failure. What do you think, Cecile?

Cecile: I agree with you. They're spending a lot of work and doing things and then you're not going to see the benefits and they're going to set themselves up to be disappointed.

David: Let me ask you a personal question, Cecile. Have you ever had a cleaning lady come into the house?

Cecile: Yes.

David: Did you ever clean your house before the cleaning lady came?

Cecile: Yes.

David: I have to admit I do the same thing, and isn't having your own governance in place a way of making sure your house is tidy before the cleaning lady comes in?

Cecile: Absolutely. I've sat there with the auditors and had the enormously long list and spent hours and hours of effort having to go dig for things and it’s not fun.

David: It doesn’t have to be hard and one of the things I’ll talk to a little bit later is in our Navvia tool, for example, the way we automate the whole collection of evidence and the whole management of the governance environment I think really simplifies that aspect.

Moving on to some of the results that came back, 49% of the respondents use COBIT for ITSM governance. 33%, that was the next highest amount, were using ISO20K to help them with their governance efforts. 34% of the organizations have linked ITSM to a quality program; most of those were Six Sigma at 42%, and 23% using ISO9000, which is basically a quality framework if you will.

It’s really interesting to see the linkage of ITSM to quality and I'm not sure if anyone out there in the line is doing that, but it’s really interesting because I find that if you're able to tack onto another program in the organization such as quality, you really give both programs that much better an opportunity to be successful, because ITIL and Six Sigma or other quality programs do very much go hand in hand; processes, improvements, continual service improvement. I think that if you can tack on to those programs, it’s a great way to get more support for your own internal. We have an interesting webinar. It’s recorded and up on our website. We did a panel discussion with some thought leaders from the healthcare industry and one of those organizations specifically was really adamant in the way that because they had such a strong quality improvement initiative going on in their organization, they were able to latch on to that and really bring the IT processes up to snub, even though the quality initiative was focused mostly in the healthcare aspect, the procedures and the processes that the doctors, nurses, etc, use but they were able to tag along with that and bring up the importance of their ITIL and ITSM program. Also, for those organizations who may have not linked their program, 64% do see value in linking to them. There is an understanding out there that that is a potential way to go.

A couple more questions for the audience, but here's the next one, and this is always a very interesting one. What is you organization’s position on SaaS, software as a service, specifically using it for ITSM tools? We do not allow SaaS applications, we currently have no SaaS applications but are investigating, we currently SaaS currently applications or you're not really sure. The area of SaaS, what have your thoughts been in that, Cecile? Have you seen just from your observations a growing interest in the SaaS platform?

Cecile: It was very interesting for me leaving the organization I was with before and joining Navvia that we had just started on the cusp of that because we had just started investigating SaaS where we were but pretty much everything was not SaaS to coming on board with Navvia and finding so many of the tools that we use every day now are SaaS. It was right around that time when everything really started to shift.

David: Here at Navvia whether it’s our email system, customer relationship management, marketing platforms, we use SaaS because that allows us to really focus on our core competency which is ITSM and using SaaS allows us not to have to spend a ton of time managing and maintaining those environments. They're pretty easy to use and it’s been very beneficial because it’s given us access to very powerful technology that we might not have been able to implement in house. In addition to that, as a consulting company, I would have to say four out of five implementations that we see today, and that’s across multiple vendors, are on the SaaS platform.

Back to the audience participation, 0% do not allow a SaaS application; I've never seen that before. That’s the first time when I've asked this question nobody’s saying we don’t allow SaaS. 21% currently have no SaaS applications but are investigating. A really proportion, 76% currently use SaaS applications, and 13% not quite sure.

Let's see what our survey said. 65% of the respondents are either using or investigating SaaS, up from 50% the previous year; a continual growth that we've seen go from virtual nothing. I remember the first time I asked this question maybe in the third or fourth survey, it was very small, 10%, 5% of people using SaaS and it’s really gone to the other end of the spectrum. I'm not saying SaaS tools are inherently better but I can see there are a lot of advantages for organizations from the aspect of not having to maintain the infrastructure, quicker time to market just the number of those features, sometimes in terms of the capital cost of acquiring them, not having to buy all the servers to support them. There are definitely some advantages, but I do understand it’s not for everyone.

When it comes to ITSM tools, in addition to SaaS, we also learn that 45% of the respondents use a single integrated ITSM tool. I was a little surprised at that; that’s a high number. It’s cool because it’s the ERP of IT. That’s what I think a single integrated ITSM tool is. It gives you your service catalog, your discovery, your CMDB, incident, problem, change, the record share of the same fields; there's so much advantage to doing it. When I started my career, and I've been in service management for a long time, best of breed was pretty much the way people went; the best incident system, the best monitoring system, the best asset tracking system. But today, for a lot of reasons, and I think the maturing of the ITSM tools, we’re seeing a lot more people focusing on a single integrated platform. 38% of the respondents have implemented the CMDB and 43% are planning to implement, which actually supports some of the earlier commentary I made around the SACM processes and the asset management processes. You can see that not only are people focusing on those processes, but they're really getting that core technology in place. 65% are planning to implement Auto Discovery in the next little while; that’s a pretty high number and it’s really an underpinning requirement to have a CMDB and really maintain that. You can’t maintain a CMDB through manual inventory and manual reconciliation; having the Auto Discovery tools are critical and we see a high number of people moving in that direction. Service level management tools, 23% have implemented and 45% are planning on implementing in the upcoming year. That’s significant. Service level management is such a customer facing process ensuring that you're meeting the service levels that you promised to your customer and having the tools in place to support that, be they standalone or part of an integrated ITSM, are critical. Last but not least, service catalog. 41% have implemented and 37% are on track to implement a service catalog tool, supporting the process work that’s being done within those companies as well.

On the topic of process and tools, it’s not one or the other; I think it’s both combined. No tool will do it for you automatically and no process will work without a tool supporting it, at least in large organizations. Working on both your process and tool simultaneously is such an important part of having success in that area.

I think I have another and this perhaps is the last question around audience participation. Just out of curiosity, what is your personal level of ITIL certification? Do you have ITIL V2, ITIL V3, one of the intermediary courses? Have you moved up the service manager expert or are you one of those individuals with no certifications? There's no right or wrong answer here. It’s just a question.

I have my ITIL V3 foundations and the school of hard knocks.

Cecile: When we were talking about this previously, I think I probably took one of the first ITIL classes in North America, back in 1998 and I can’t believe that was 15 years ago.

David: I might have been sitting in the room next to you.

11% ITIL V2, 40% ITIL V3, fairly high 27% of you have got some level of the intermediate courses, and 22% are at the ITIL service management expert level and 18% with no certifications.

Let's see what our survey says. 2% ITIL V2, 47% ITIL V3, 16% in the mid level, 18% at service manager or expert, 13% with no related certifications; kind of in line with what our polls showed.

Let's dive a little bit deeper into these numbers. We also found that 51% of the organizations have a formal ITSM training program, which is also very encouraging because it shows the importance of service management to the organization. You allocate the resources, you get a program office in place, you get some formal training and that’s so important. It was one of the things that the core of our Navvia solution is making sure we had that training component built in.

The majority of those organizations that have a formal ITSM training program, 49% only offer foundations; pretty much just trying to get people at that beginning level, just getting them on the same page. A lot of times people use the foundations training to get a common language across the organization so people know the difference between an incident and a problem or a change in a release. 21% offer intermediate training and 26% actually offer and pay for ITIL expert training. 59% of the respondents used dedicated classes while 33% relied on open enrollment. That was interesting because dedicated classes do have an important place. It allows you to get together with your colleagues and take the training. You're there to learn a certain set of materials and you do have the pass an exam but the examples that I used throughout the course can be used from the context of your own organization.

I have always been a fan of the dedicated classes. Open enrollments are also cool because on that side of the coin, you get to see what other people are doing and interact with. It’s a great networking opportunity to hear what other people are doing in their ITSM programs.

Here’s another interesting statistic. 21% have dedicated internal ITIL training resources, meaning not only do they have a program, but they have instructors on staff teaching it. I doubt that’s the only course they teach; they obviously teach other courses from the company’s curriculum, but they dedicated a certain number of their people to go out and do training and perhaps those are folks from the program office who have other responsibilities as well, but there are some internal capabilities and that’s very interesting. 48% of the companies got their training from a dedicated training company, 19% used a professional services firm and 12% relied on their hardware or software vendor to get their training. 63% have no plans to implement a formal ITSM training program of their own. That was of those people without a formal program. 51% had a formal program, and for those who didn’t, 63% are the majority and had no plans to go ahead and do it.

We've come to the end of the results presentation. I do want to encourage you to stay on for a little while longer because we do have the draw at the end of this presentation. I just want to wrap it up with some comments. There are a lot of reasons I've seen, and for those of you who know me, for those who don’t, I've been in service management for over 30 years. I have seen a lot of projects be very successful, I've seen a lot of service initiatives fail, and I think it comes down to these few things.

Lack of a plan. If you don’t have a plan, if you don’t have a map or a destination mine, any road will take you there. Having a good plan is one of the underpinning success factors for a service management program; where am I going to go, what days am I going to implement the processes, how am I going to training people; that’s so important.

Unrealistic expectations. Saying to someone we’re going to implement incident, problem, and change in three months and it’s going to be a tremendous success; those expectations can result in a huge dissatisfaction.

Skepticism. When it comes from people believing in the people, you want to implement in a way that’s realistic, you want to set measureable goals, you want to show success and with each success, you can then build upon that and make it better. Skepticism of management and staff, I've seen that where people come in and its almost the passive aggressive nature of people where they come back, and on the surface they're all supportive, but underneath, ‘we don’t have to fill in those change tickets, we don’t have to fill in those incident records.’ That skepticism could really ruin a program and that’s why communication is so important. Governance is so important. That’s why management buy in is so important to help offset some of those things.

Poor requirements definition. People believe that they can implement a tool out of the box. I'm sure some of you do. I know it’s a common commentary from the vendors to move you to implement a tool out of the box, ‘don’t waste your time on the processes, all that stuff has failed in the past, let's just focus on the tool.’ I often refer to that as the lift and shift approach. If you're replacing your tool, is that because things were good or because things were bad? If things were good, why are you moving? If things were bad, why do you want to shift that into a new environment? Poor requirements definition can often result in a tool that has [unclear 0:53:19], the requirements don’t work, it’s not meeting the requirements of the users. Poor requirements definition for tool implementation, big issue. As well as governance and controls of your processes. You put everything in place, everything starts off great but six months later you're back to where you began because nobody’s actually enforcing the processes.

Those are some of the reasons I think that things fail and just from my experience, remember that service management is more than a tool. Don’t bite off more than you can chew. Keep what works for you. ITIL is only guidance; it’s best practice and it’s not the law. There's no such thing as being ITIL complaint. What you need to do is do what's right for you and if you can take out of ITIL things that’s going to make your organization better, adopt them. If there are things that don’t make sense, don’t worry about it. There's no strict way to doing it.

You need to balance consensus with adoption when you're doing process work, so sometimes if you have a huge ‘love feasts’ with 45 people trying to design a process, it might take you a long time to get somewhere, and if you're doing it by yourself in isolation, nobody’s going to adopt it. There's a balancing act that has to happen where you want to get enough people on board and you also want to be able to get things done. Balance that whole aspect.

Design your processes in parallel with tool implementation. I know there are a lot of folks out there who said ‘do you process first then your tool.’ I'm not a believer in that; do both simultaneously. If you're designing a process, have someone familiar with the tools sitting in the room because they're going to tell you if it’s going to work or not. Make sure they're in the room because they need to know what the process has to be so that they can implement it properly.

Also, design your processes deep enough to drive automation requirements. It’s not enough to put a little box on a video saying ‘open a ticket.’ What information do you want to gather as part of that ticket? Is there automation involved? Get your requirements so you can automate the process.

Here in the appendix is a complete set of the responses. We basically have all of the questions in the responses. I also want to point out we did this survey using the Navvia toolkit, so one of the features is a survey module and that’s how we conducted the survey, with the actual Navvia tool.

Once again, thank you so much for being part of this webinar today. My name is David Mainville. I'm one of the co-founders in Navvia. Cecile, thank you so much for your help and Rafael, thank you for working the board here today and making sure everything went smoothly from a technical perspective. Thank you all for being part of the session. If you're a Twitter type person, you can follow me at @Mainville and I also encourage you to go to Navvia.com/library and that’s where you'll see all our previously recorded webinars, tons of articles, white papers, all free for the taking. Thank you so much. Have a great afternoon. Bye for now.

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Rafael Alencar

Rafael Alencar


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