ITIL v4 Notes

 ITIL 4 provides organizations with a comprehensive framework for IT service management.

 Service: A means of delivering value to customers, by facilitating outcomes(result) customers want to achieve,
without them having to have ownership of specific costs (such as the infrastructure).

o 2 factors if customers perceive value:

o Utility: What does the service do? Are they fit for purpose?

o Warranty: Can it be used? Does it have enough capacity? Fit for use?

 Process: a collection of activities

 Governance: the means by which an organization is directed and controlled

o All the processes needed/governed to run the organization

 Additional Notes:

o Strategizing for customer, working with the customer, designing/creating solutions & spend
appropriate time in following up with customer to ensure the perceived value is delivered.

o Meeting the business expectation from the customer is the main goal & they have perceived value from
our businesses.

o Creating happy customers = mastering service management

 Service Management: a set of specialized organizational capabilities for providing value to customers, in the
form of services, that meet the needs of their business.

 In other words, delivering value to customers through services to keep them happy and a
long-time customer

o Value: Perceived benefits, usefulness, and importance of something

 The amount of value is subjective on the recipient’s perception

o Organization and People: a person or a group of people that has its functions, responsibilities, and
relationships to achieve its objectives

 User: person who uses service

 Customer: person who defines requirements for services and takes responsibility for
outcomes from service consumption

 Sponsor: person who authorizes the budget for service consumption

o Service and Product:

 Service: Means of enabling value co-creation by facilitating outcomes that customers want to
achieve, without the customer having manage specific costs and risks

 Product: Configuration of resources created by the organization that will be potentially

valuable for its customers
o Service Offering: a description of one or more services, designed to address the needs of a target
consumer group. A service offering may include goods, access to resources, and service actions

 How to group/sell products in various ways to appease different customer.

 Service Offering includes: Goods, Access to resources and service actions.

 Goods: Things that are transferred from service provider to the consumer.
 Access to Resources are granted/licensed to a consumer under agreed terms and
conditions

 Service Action: Actions performed to address a consumer’s needs

o Service Relationships: all about relationships with customers. Including service provision, service
consumption, and service relationship management

 During this relationship, there are mainly 2 roles: service provider & service consumer

 Service Relationship Management: The activities that the service provider and the service
consumer do together to enable value co-creation to occur based upon the service offerings.

o Outcomes: a result for a stakeholder, enabled by one or more outputs.

 Output: tangible/intangible deliverable that is created by an activity. Ex: report, bill & email.
Tangible item after using the service.

 Ex: Watching Udemy courses, the outcome is to land the certification. Output would
be the course videos and paper material.

 ***Important to understand the difference between outcome & output***

o Costs: refer to the amount of money spent on a specific activity or resource.

o Risk: a possible event that could cause harm, loss, or make it more difficult to achieve objectives

 4 things to mitigate risk: Avoid, Accept, Transfer, Mitigate

 Risk Avoidance: involves removing risks from the service

 Risk Acceptance: used when the risk cost is considered low
 Risk Transfer: used when you insure against a risk
 Risk Mitigation: used when you implement technology or processes to reduce the
risk

o Utility & Warranty: Utility is the functionality offered by a product or service to meet a need. (What
the service does) Warranty is the assurance that product or service will meet agreed requirements. (Fit
for use? Does it meet the requirement stated by the consumer?)

 A business can’t be successful without having utility & warranty

 Warranty addresses areas such as availability, capacity, security levels, and continuity
 Four Dimensions of Service Management: 4 different perspectives (4 dimensions of ITSM) to co-create that
value for the consumer

o Organizations & People: How will we form our organization structures to support product/services
deliver to consumers.

 The type of business (Sole Proprietorship), organizational hierarchy, how to separate

departments, roles & responsibilities & culture

 Culture: shared values & attitudes of the organization.

o Start-ups culture is drastically different from IBM

 When thinking about product/services, the first dimension that should be taken into
perspective is Organizations & People.

o Information & Technology:

 Information:

 Technology: Technology that supports 2 components of the business: IT Service & ITSM

 IT Service: Uber is taken as example. The IT needed to support this service is

website, app, servers, AI, cloud computing etc.

 IT Service Management: Technology that supports ITSM: customer service tools,

remote collaboration, mobile platforms, ERP. In other words, all the things that are
not necessarily going to be delivered to end-user however vital for business
operations.

o In the case of OMA: SD Plus, Office 365, OAS, NAV etc.

o Partners & Suppliers: Externally focused.

 The difference between partner & supplier.

 Partner: something that is critical to the business. Fully involved with long-term
goals of that organization. Shared common goals/risks.

 Supplier: something that is not critical. Goods and services. Ex: Grand & Toy. Office
365, Internet etc.

 Service Integrator: when there are many suppliers, a 3rd party will be hard would be
hired to manage of all suppliers ensuring all products were received at the right time.

o Value Streams & Processes: Define the activities, workflows, controls and procedures needed to
achieve the agreed-upon objectives.

 Value-Stream: a series of steps an organization undertakes to create and deliver products and
services to service consumers. Value-added and non value-added activities.

 Process: a set of interrelated/interacting activities that transforms inputs into outputs.

o PESTLE: Stands for: Political, Economic, Social, Technological, Legal, Environmental

 These 6 components are things outside of organization that cannot be controlled

 These components are imperative to think about when designing business model & service
 Service Value System: Describes how all the components & activities of the organization work together as a
system to enable value creation.

o The purpose of the SVS is to ensure that the organization perpetually co-creates value with all
stakeholders through the use and management of products & services.

o 3 Main Components of SVS: Opportunity/ Demand (Input), Value (Output) and stuff in the middle.

 Opportunities: represent options or possibilities to add value for stakeholders or otherwise

improve the organization.

 Demand: the need or desire for products & services among internal/external customers

 Example: Person loves the beef burger at local shop. Asks if they have chicken
burger. So, these inputs to the business may help in creating service to give value to
customers as an output.

 Value: the outcome of the Service Value System.

o Governance: A means by which an organization is directed and controlled.

 This is apart of the SVS equation. It is located between the input and output stage; in the
service value chain area. It takes the input idea, processes it and spits it out as an output.
Processes and procedures all throughout the organization. The way one will control, organize
and direct the organization. In other words, these are the laws of the org.

o 7 Guiding Principles: A guiding principle is a recommendation that guides an organization in all

circumstances.

 Focus on Value: Everything that the org does should link back, directly or indirectly, to value
for itself, its customers & other stakeholders

 How to apply “Focus on Value”:

o Understand & identify the service consumer

o Understand the consumer’s perspective of value

o Map value to intended outcomes which change over time

o Understand the customer experience or user experience

 Start Where You Are: Do not start over without first considering what is already available to
be leveraged. For ex: if you are a new employee looking to improve processes, starting with a
blank slate is bad. Look at current process and figure out how to enhance it.

 Progress Iteratively with Feedback: Working in a time-boxed and iterative manner with
embedded feedback loops allows for greater flexibility, faster responses to needs, the ability to
respond to failure earlier, and an overall improvement in quality.

 This is all about doing things in an agile method of working. In PM, there are 2 ways
to building something: Waterfall Method & Agile Method

o Waterfall: Figure out entire concept, break it down into increments, build
each increment towards final goal; no one can use until the whole concept is
created. Ex: building house, no one can move in until house is fully built.

o Agile: Use increments during the process rather than waiting for the whole
picture. Progress iteratively with feedback.
  Collaborate & Promote Visibility: Puts the right people in the correct roles, achieve better
buy-in, have more relevance, and gain an increased likelihood of long-term success.

 Think & Work Holistically: A holistic approach to service management requires an

understanding of how all the parts of an organization work together in an integrated way.

 Keep it Simple & Practical: Outcome-based thinking should be used to produce practical
solutions which deliver valuable outcomes using the minimum number of steps.

 Optimize & Automate:

 Optimization means to make something as effective and useful as makes sense.

Before an activity can be effectively automated, it should be optimized to whatever
degree is possible and reasonable.

 Automation means using technology to perform a step or series correctly and

consistently with limited or no human intervention. Automating frequent and
repetitive tasks helps organizations scale up and allows human resources to be used
for more complex decision-making.

 Service Value Chain: An operating model which outlines the key activities required to respond to demand &
facilitate value creation through the creation & management of products/services.

o The SVC consists of activities that are not linear but are connected with each other to deliver value.
The list of the activities are:

 Plan: Ensures a shared understanding of the vision, current status, & improvement direction
for all four dimensions & al products/services across the organization.

 Executive vision; where organization envisions to be.

 3 types of plans: strategic (big), tactical (middle) & operational plans (small)
 Improve: Ensures continual improvement of products/services & practices across all value
chain activities & the 4 dimensions of service management.

 Engage: Purpose of this activity is to provide a good understanding of stakeholder needs,

continual engagement with all stakeholders, transparency & good relationships with all
stakeholders.

 Think about going out and talking to other people; negotiating contracts with
partners/suppliers

 Listen to customer requests/feedback

 Take plans from improvement activity
 Design & Transition: Purpose of this activity is to ensure that products/services continually
meet stakeholder expectations for quality, costs, & time to market.

 Looking from architectures, policies, improvement initiatives, portfolio decisions

 Obtain/Build: Purpose of this activity is to ensure that service components are available when
and where they are needed, and that they meet agreed-upon specifications.

o If one is going to build a service, it should be built to the design criteria that
it was given from design/transition activity.

 Input:
 o Contracts & agreements with external/internal suppliers & partners
provided by engage

o Goods/services provided by external/internal suppliers & partners

 Engage- info, interaction and engagement
 Obtain/Build- components, goods and services
o This is the stage where building of product/service occurs based on the
design you got from design/transition
 Deliver & Support: Purpose of this activity is to ensure that services are delivered &
supported according to agreed specifications & stakeholders’ expectations.

 Ensuring that end-user is getting the delivery/support that they need

 Take for example the evolution of creating a car part; the design/transition phase
begs for selecting the right design part, the obtain/build phase renders the actual
creation of the part and transitioning from blueprint to physicality while the
deliver/support phase is providing the product to the customer.

 Value Streams: Specific combinations of activities & practices, & each one is designed for a
particular scenario

 In other words, based on the activity, it may use different amount of steps from each
service value chain activity. (i.e.- 2 steps required in engage and 1 in
design/transition

 *The service value chain’s strength is the interrelationships throughout the

process*

 Continual Improvement: To align the organization’s practices & services with changing business needs
through the ongoing identification & improvement of services, service components, practices or any element
involved in the efficient & effective management of products/services.

o Last component of service value system.

 Continual Improvement Model: This model helps in executing continuous improvement. This model starting
from the top, perpetually runs and does not stop, therefore this model is the continuous improvement model.

o This model will be on the exam. Pick & choose from amongst the 7 steps.

 Example: What comes next after “Where do we want to be?”

 MEMORIZE THIS MODEL

 What is the vision?

o Vision comes from the C-Suite (CEO, CFO etc.)
o Translating the vision & objectives so that the context is understood
o Create a high-level for planned improvement (varies to department & org)

 Where are we now?

o Understand current state of services/products.

 Where do we want to be?

o Set goal and perform gap analysis. Use metrics to measure (KPI, CSF)

 How do we get there?

o Create a plan.

 Take Action
o Waterfall or agile approach. Most of times agile is used.

 Did we get there?

o Gap analysis. Comparing present state versus where we planned initially.

 How do we keep the momentum going?

o If goal is met, continue to improve. If not, back to the drawing board.
 Categories of Practices:
o Practice: A set of organized resources designed for performing work or accomplishing an
objective.
o General Management Practices: 14 GM Practices.
 Continual Improvement:
 Align the organization’s practices & services with changing business needs
through the ongoing identification & improvement of services, service
components, practices or any element involved in the efficient and effective
management of products & services.
o Encourage continual improvement across the organization
o Secure time and budget for continual improvement
o Identify and log improvement opportunities
o Assess and prioritize improvement opportunities
o Make a valid business case for improvement action; reason for
budgeting
o Plan, implement, measure and evaluate the results
o Coordinate improvement activities across the organization
 Continual Improvement Register (CIR): Database/structured document to
track & manage improvement ideas from identification through the final action
 Information Security Management:
 To protect the information needed by the organization to conduct its business
 Cyber Security
 Relationship Management:
 The purpose of RM is that it establishes & nurtures the links between the
organization and its stakeholders at strategic and tactical levels
 Supplier Management:
 Purpose: Ensures the organization’s suppliers and their performance are
managed appropriately to support the provision of seamless & quality products,
services, and components
 ^^^^^^^^^^^^^^^^^* IMPORTANT FOR EXAM*^^^^^^^^^^^^^^^^
 Architecture Management:
 Provides an understanding of all the different elements that make up an
organization and how those elements interrelate, enabling the organization not
effectively to achieve its current and future objectives.
 Knowledge Management:
 Providing an understanding of all the different elements that make up an
organization and how those elements relate to one another.
 Measurement & Reporting:
 Practice of supporting good decision-making & continual improvement by
decreasing levels of uncertainty
o KPIs and CSFs
 Organization Change Management:
 Ensures that changes in an organization are smoothly & successfully
implemented, and that lasting benefits are achieved by managing the human
aspects of change
 Portfolio Management:
 Ensuring that an organization has the right mix of programs, projects, products,
& services to execute its strategy within its funding & resource constraints.
 Project Management:
 Ensuring that all an organization’s projects are successfully delivered.
  Risk Management:
 Ensures that an organization understands and effectively handles risks
 Service Financial Management:
 Supports an organization’s strategies & plans for service management by
ensuring that the organization’s financial resources & investments are being
used effectively.
 Strategy Management:
 Formulates the goals of an organization & adopts the courses of action &
allocation of resources necessary for achieving those goals
 Workforce & Talent Management:
 Ensures that an organization has the right people with the appropriate skills &
knowledge & in the correct roles to support its business objects.

 Service Management Practices: 17 General Management Practices; for exam 6 are needed to know.
 Change Control: Previously known as Change Management
 To maximize the number of successful IT changes by ensuring that risks have
been properly assessed, authorizing changes to proceed, and managing the
change schedule.
 In other words, before we make a change, we understand the risk, we know
who’s approved it & manage it on the schedule
 Change: Addition, modification, or removal of anything that could have a
direct/indirect effect on IT services
o 3 types of Changes:
 Standard: Low risk, pre-authorized and well-understood.
 (Ex: Password reset by SD Analyst)
 Normal: Low-risk, requires some level of authorization
 (Ex: Update Win 7 to Win 10)
 Emergency: Expedited assessment & authorization process,
change that must be implemented ASAP.
 (Ex: 2:30 am on Saturday, File server crashes & HD
are dead. Another is Katie Peter situation.)
 Incident Management:
 Incident: an unplanned interruption to a service, or reduction in the quality of
service. Purpose: To minimize the negative impact of incidents by restoring
normal service operation as quickly as possible.
o Swarming: Involves many different stakeholders working together
initially, until it becomes very clear which of them is best placed to
continue and who can move on to other tasks.
 Ex: if a data breach occurred, swarming would get ops, dev,
database & service desk team and continue to chip away to see
if the servers, development or database is affected. When
finding out database affected, the other teams can be let go and
continue to work with database team.
 Problem Management:
 Problem: a cause, or potential cause, of one or more incidents. Purpose: To
reduce the likelihood & impact of incidents by identifying actual & potential
causes of incidents and managing workarounds and known errors.
o Workaround: a solution that reduces or eliminates the impact of an
incident or problem for which a full resolution is not yet available.
o 3 steps in Problem Management:
 Problem Identification: trend analysis (frequency of same
incident)
 Problem Control: Prioritize & manage based on the risk.
 Error Control: Identify potential permanent solutions
o Ex:
 Service Desk: Capture demand for incident resolution and service requests. SPOC for all
users.
 Service Level Management:
 Purpose: Sets clear business-based targets for the service performance so that
the delivery of a service can be properly assessed, monitored, & managed
against these targets. In other words, consist of SLAs.
 Service Level Agreement (SLA): Documented agreement between a service
provider & a customer that identifies services required & the expected level of
service.
 Service Request Management:
 Purpose: To support the agreed quality of a service by handling all agreed user-
initiated service request in an effective & user-friendly manner.
 Service Request: a request from a user or a user’s authorized representative that
initiates a service action that has been agreed as a normal part of service
delivery.
 3 Steps for Service Request:
o Initiation
o Approval
o Fulfillment
 When thinking of Service Request Management, it is imperative to consider
automation.
 IT Asset Management:
 Purpose: To plan & manage the full lifecycle of all IT assets, to help the
organization:
o Maximize Value
o Control Costs
o Manage Risks
o Support decision-making about purchase, reuse & retirement of assets
o Meet regulatory & contractual requirements
 IT Asset: any valuable component that can contribute to delivery of an IT
product/service
 IT asset management helps for budgeting as we know age of devices.
  Monitoring & Event Management:
 Purpose: To systematically observe a service or service component, record &
report selected changes of state identified as events.
 Event: any change of state that has significance for the management of a
configuration item (CI) or IT service.
o Ex: logging in successfully, increase in network folders, failed
password, account being locked out
o Event can be informational, a warning or even an alert depending on
the severity.
o Examples: emails from Ops that Account is being locked, or user’s F
Drive increased significantly.
 Release Management:
 Purpose: to make new & changed services/features for use.

 Service Configuration Management:

 Purpose: to ensure that accurate & reliable information about the configuration
of services, & the CI’s that support them is available when and where it is
needed.
o In other words, to track all CI’s. Example would be SCCM.
 Configuration Item (CI): any component that needs to be managed in order to
deliver an IT service.
o Ex: Servers, routers, switches, desktop, laptop

 Technical Management Practices: Adapted from technology management domains for service
management purposes by expanding or shifting their focus from technology solutions to IT services.

o Deployment Management:
 Purpose: To move new or changed hardware, software, documentation, processes, or any
other component to live environments.
 Release is more focused on approval, deployment is more moving into
transition into the deliver & support.
o Infrastructure & Platform Management:
 Purpose: Oversees the infrastructure & platforms used by an organization
o Software Development & Management:
 Purpose: Ensures that applications meet internal & external stakeholder needs, in terms
of functionality, reliability, maintainability, compliance, and auditability.

 Conclusion: