The End (to-End) is Nigh!

14186949118_252cc35022_zThe way we consider, design and operate ‘End-to-End’ IT is about to end, or at least going to go through a fundamental change. There are plenty of evidence points; Shadow IT. Analyst organisational restructures. M&A transactions. Converging technologies. Current cost of I&O. The P&L’s of many organisations. New roles emerging in the enterprise such as the CDO – Chief Data Officer…The list goes on. We are all about to witness considerable convergence, or ‘Digitisation’ of our respective worlds.

There is a realisation that the world we operate in has radically changed. Our ultimate end customers and our own staff are now significantly more ‘savvy and demanding’ and the landscape we all operate in is significantly more competitive and ‘real-time’…. But we know this. However, have IT (or more importantly the business supporting and funding IT) reacted accordingly?

Welcome to the digital economy. An economy where cross-silo agility, integration, automation, data, mobility and compliance are key watchwords. An economy where we should revisit core questions like; ‘How are we doing the things we do?’ and perhaps more fundamentally, ‘Why are we doing the things we do?’

In fact one of the big questions IT should be asking is, ‘Does the organisation want IT to build and operate a basic IT platform where its users define competitive advantage from the data / services IT provides, or does the organisation want IT to build and operate a digital IT platform where competitive advantage comes from digital trends, analysis, automation and are real-time. For example, an advanced platform may empower and extend the ability for business units to build workflows and applications to remove tedious and costly manual processes without the involvement of IT, or perhaps IT themselves to ‘see’ trends and plan for eventualities across multiple silo’s of technology or process. Furthermore wouldn’t it be great if IT could effect change in one area and the implications in other areas are all taken care of. Not only joining up the data (which we typically do well), but also the processes, the management and admin.

We are entering a world where we have to dramatically improve 3 areas:

  • Core Service / function of IT – What we do and the way we do it
  • Discovery / Detection and analytics – The ability to process business value data
  • Reaction & Change – The ability to respond in an agile way

So let’s consider how we achieve these goals. First we need to define who we are serving and what or perhaps why we are doing this. Then we should consider where does the raw compute, storage and application stack come from to serve our audience. Finally, we can consider what happens ‘in-between’ the supply and the demand.

 

PART 1. Who, Why & What are we serving?

Let’s start with the ‘What’ – What we ultimately deliver is a trading platform that optimises communication, competitive intelligence and competitive service. Regularly, it is not seen that way, more often than not, IT is seen as the providers of defined or ‘canned’ business services (i.e. mail, ERP, SFA, storage, kit, etc) and the managers of I&O (Infrastructure & Operations). i.e. we are told what the business needs, in short:

  1. Provide XYZ business applications to the BU’s and staff
  2. Provide information/data/reports (not intelligence)
  3. Manage, support and secure all of the above

Change is going to have a massive part to play in ‘What’ we do going forward. In the past, business change was positively ‘glacial’… we lived in an analog world. It took time for information to flow and be processed. Executive leadership, BU’s or staff took time to draw the conclusion that ‘change’ or a response was required… The majority of commercial Change requests come from outside of IT as the ‘intelligence’ was ultimately analogue, or a human connecting the dots between one set of data and another…. Or perhaps worse still, emotional.

This leads nicely onto the ‘Who and Why’. Who we serve can ultimately be divided into 5 categories:

  1. The ultimate end customer
  2. IT itself
  3. Staff
  4. Business Units
  5. Executive

aw diagram - 3

 

Each requires different services, information and tools. All need our security & compliance skills. All could benefit from our domain expertise in process and integrations and ultimately, all could do with ‘real-time’ cross data analysis to make informed ‘digital’ recommendations rather than decisions being made very slowly in the analog modus operandi.

 

  • The ultimate end user wants relevancy and respect
  • IT wants to know if some element of their ‘trading platform’ may be going AMBER and why…
  • Staff want intuitive tools, services and intelligence
  • Business Units want to remove the burdens, costs and improve agility
  • Executive want to see and measure and need value (ratio of investment to return)

The ‘why’ we do / or should do the things required in the new digital economy are fundamentally economic, whether your organization is commercial, government, charity, public or private, we all have bosses. We all have customers. Our role is to provide better services, products and financial performance that are secure and compliant.

 

PART 2. Where is IT coming from?

This has to be broken into three parts. The first is, where do the core applications, compute, storage, etc services come from, the second is where does the end user support for the disparate services come from for the ultimate end user, and third, where does the intelligence and ‘Change / React’ thinking come from.

The first area of ‘where core applications and services’ come from is quite straight forward, as they regularly come from a mix of on premise (physical or virtual), cloud (public and private), outsourced and of course the inevitable shadow IT conundrum.

The Second area of ‘Where does the end user service & support come from’ for the 5 types of customer is regularly a mess, primarily as the systems, processes and data is not joined up. In fact some of the applications and therefore its data do not even reside within IT’s domain.

And therefore, it’s a very similar story is the third area of ‘Where does the Intelligence and ability to Change / React’ reside…Its key to note that we are not talking about where the data or information resides, this is known, but where are the applications that use the data in order to make informed real-time decisions? They do exist in many organizations, but they are sporadic and isolated. Perhaps APM (Application Performance Management) technology is used for one customer type, and a marketing tool used for another customer type. This is an area where the ‘End-To –End’ thinking delivers optimum service, competitive advantage has its greatest effect.

 

PART 3. Joining the end to end dots.

In reality there are three roles for IT.

  1. Providing the core services
  2. Providing a service on those services
  3. Providing real-time and cross platform intelligence

And making all of these intuitive, agile, secure and efficient

Simple….no, but IT is in the most powerful and influential position to design, build and conduct the ‘New IT’ DNA. IT will place an increasingly pivotal role in the organisation, its strategy, its people, its technology platform. New ITOM platforms are going to revolutionise how we architect IT. Its no longer about whether its cloud / Saas or on premise… it’s about End-To-End IT. We will see significant convergence, from APM, PPM, Web CMS through to ITSM / ITAM and Analytics, CRM and AI…

IT is the business. We are now in the business transformation game. Embrace it.

 

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Review: Outside IT 2014

OutsideITTo download the full report as a PDF please visit : Outside IT 5th August 2014

This is a competitive review of software vendors who offer Outside IT capabilities as part of their IT service management (ITSM) solution.
Products reviewed:

 

Outside IT 2014 – Best in Class

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In The ITSM Review’s opinion, ServiceNow is an excellent option for large-and-very large sized businesses looking to achieve synergy and efficiency of cross-departmental operations, as well as flexibility in their IT and wider non-IT shared service operations. Furthermore, we believe it is an excellent option for large and very large organisations implementing service management and work automation across and beyond IT.

We feel that ESM is a strong and forward-thinking message and an excellent opportunity for real success through ITSM and wider service management and automation. In our opinion, this is a stronger and more sustainable message than ServiceNow’s earlier focus on Cloud/commercial models, community and flexibility (although useful and helpful) as the ESM message transcends IT and straddles business areas and can finally take ITSM to a C-Level audience for sales and delivered value.

In our view, continued expansion via the ESM message and product capability for Global Enterprises should be the ServiceNow goal, possibly with some options on how to take this message to the mid-market market in future.

Overview

This report has been unusual in terms of a normal industry product/vendor review – for two reasons:

  1. The initial review criteria were quite generic (by necessity) and to some extent vague (i.e. “what have you done with your product outside of IT?”) and
  2. The results and outcomes are not particularly (or only) related to functionality or product capability – and this relates strongly to marketing, positioning and implementation approach.

As a review of what vendors can or are doing with their (ITSM) products outside of the IT and ITSM operational area, this review had to be somewhat open-ended, giving the participating vendors specific requirements to follow, but also opening up the options for them to show us what else they can do and are doing outside of IT. This includes not just options on software functionality but also how the vendors are positioning themselves in the market.

Each vendor in this report provides ITSM tools that can be used to build forms and workflow based automation for administration of ‘back-office’ work, this includes: managing workloads; requests; automating approvals and escalations; automating spreadsheets and other databases centrally to remove risk; provide customer service and call centre tools; manage work schedules; provide knowledge repositories, calendars, reports dashboards and customer portals etc. In addition, they each provide this functionality in a modern, social, mobile and intuitive ‘connected’ environment that can be quickly implemented and maintained with minimum technical resources.

So what are the differences between the vendors in this report? How can we distinguish and identify differentiators, pros and cons between them? If all products can be used to develop work automation, logging and escalation/ownership and tracking of tasks etc., does this mean that the differences between vendors go beyond simple software functionality? This review looks at how to differentiate the vendors’ approach for beyond IT across the ITSM market.

Industry Context

There has been a move in recent times to develop more applications and tools that can cross the boundaries of internal service departments. The ITSM toolsets available have helped to drive practice in this area, in particular service catalogues, service portals, automated fulfilment processing, approvals etc. and for many organisations this is a huge opportunity for IT to be the department of solutions and success rather than simply the folks who say ‘no’ all the time.

Most manufacturers of ITSM tools report that their sales engagement process usually now involve the inclusion of non-IT people as the norm which has happened historically although not consistently with many vendors also reporting the fact that, once their ITSM tool has been successfully implemented, their clients in IT then help to ‘sell on’ the wider use of the toolsets within and across their own organisations.

Much of this has been driven by the opportunities offered via Cloud solutions and also via assorted sourcing options. However, the barriers between IT and its internal customers/departments are now also breaking down such that, finally, there is the appreciation that the overall needs of the organisation they support can be met via a ‘supply chain’ approach rather than a siloed one. Commoditisation of IT has led to greater awareness of, and demand for, proper end-to-end solutions and collaborative working. Toolsets are the final piece in this jigsaw, as they offer simple and effective solutions for this.

Opportunities for IT organisations

This is therefore a time of huge opportunity for IT organisations to re-invent themselves and to show their true value to the organisations that they serve. This moves away from just being inward-looking and self preserving around their own (IT) processes but to also being the facilitator, catalyst and ‘solution superheroes’ for the whole organisation. This can help to develop efficiency and remove risk by automating manual and single point of failure processes and systems, e.g. spreadsheets that still provide key business functions.

IT can show leadership in their own businesses if they grasp the nettle and use the skills they have developed via ITSM and the associated toolsets, relationship management, value-demonstration, service monitoring, and cost management. It’s the time and opportunity to take ITSM to the next level and IT organisations and their people are best placed to deliver this.

Client maturity

Whilst this sounds exciting, there is also the question of maturity and awareness, and this brave new world cannot apply across all organisations evenly. There are those IT organisations that have the maturity and drive to take their knowledge and skills forward to capitalise on these opportunities. These organisations will respond well to vendor positioning and messaging around business-led IT and the value of service management beyond IT.

However, there are also many (probably most) IT organisations that don’t yet have the vision, awareness, bandwidth and ITSM maturity to do this.

This is where intelligent use of new sourcing models can help to ensure that IT is moving with the times and delivering in response to needs and not just “treading water” and “sweating assets”.

These organisations will also be at risk of being by-passed in the sales process of forward thinking vendors who can then sell direct to other service areas (not IT) with their products and solutions. Vendors with mature implementations and good client relationships can also develop these accounts to “sell inwardly” as mentioned, and get the message across about collaborative working – with variable success depending on their ability to reach and get the right messages to the C-Levels working in their clients.

The new world of corporate collaboration

The message here for the vendor market – and in the context of this review – is therefore that ITSM vendors wishing to retain and increase their market share into new areas need to consider the positioning of their products in a wider context than just IT.

Products and vendors that only focus on internal IT – sold to internally focussed IT departments who don’t see the opportunities for collaboration – will be at risk, or at least will risk falling behind in the long run. There may be continuing opportunities for relatively straightforward ITSM-only sales in the short-term, but ultimately this will not be a sustainable strategy.

Vendors also need to be clear on how to reach non-IT people where necessary, as well as having clear strategies for up-selling their products beyond IT in existing and new accounts. Overall they will need to be clear as to the extent to which they take and promote these messages – from presenting either a business-focussed/business-enabled solution, to an IT-internally-focused only approach.

So whilst there is still a lively traditional ITSM ‘core market’ that vendors can focus on – where the prospects may not be interested in Outside IT (i.e. applications and their focus is solely on ITSM) – there is also a longer-term and potentially larger opportunity around selling to the wider organisation.

Clearly for vendors this requires some strategic decision making around positioning and marketing, with some implications around sales approach and targeting. This in turn may have significant cost and structural implications for vendors, and some may not have the resources to meet these requirements.

So the traditional sale to mid-management IT Operations may be simpler and easier in the short-term, but longer-term vendors may need to rethink their sales and marketing approach, collateral, and even the language used in the sales process.

So how do we evaluate the current Market?

The four vendors who participated in this review all have the capabilities to provide additional functionality outside of the ITSM/IT area and they also all have varying levels of customer adoption of this. These vendors cover a broad spectrum in terms of size, capability, and corporate coverage and their focus reflects this. All vendors also have different sales and marketing approaches to the concept of Outside IT. Details and examples of their individual offerings are shown below.

All four vendors can deliver non-IT applications with varying levels of toolkits, engagement approaches, and turnkey offerings.

 

To download the full report as a PDF please visit : http://download.itassetmanagement.net/outside-it/

Disclaimer, Scope and Limitations

The information contained in this review is based on sources and information believed to be accurate as of the time it was created.  Therefore, the completeness and current accuracy of the information provided cannot be guaranteed.  Readers should therefore use the contents of this review as a general guideline, and not as the ultimate source of truth.

Similarly, this review is not based on rigorous and exhaustive technical study.  The ITSM Review recommends that readers complete a thorough live evaluation before investing in technology.

This is a paid review, that is, the vendors included in this review paid to participate in exchange for all results and analysis being published free of charge, without registration.

For further information, please read the ‘Group Tests’ section, on our Disclosure page.


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