Much is changed in the new ITIL4 framework, but much is still similar to the previous versions. The four dimensions (Organizations and People, Information Technology, Partners and Suppliers, and Value Streams and Practices) are just slightly different than the v3 version (4Ps). These four dimensions are used to produce Products and Services.
For those remembering the v3 basics, the “4Ps” were People, Process, Partners, and Products. So, ITIL4 adjusts these to focus on the Products and Services as the outcomes. The focus is on creating value – through effects – for the business stakeholder consumers. ITIL4 also introduces the concept of Service Value Chain to replace Service Lifecycle.
ITIL 4 framework consists of key components ITIL service value system (SVS) and the four dimensions model.
ITIL V4 Service Value System
ITIL V4 Service Value System
ITIL V4 Service Value SystemThe core components of the ITIL SVS are:
- The ITIL service value chain
- The ITIL practices
- The ITIL guiding principles
- Governance and
- Continual improvement.
The Service Value Chain has six steps:
- Plan – Ensures a shared understanding and direction of the strategic vision, current status, and improvement for all four dimensions and all products and services across the enterprise.
- Engage – Provides a good understanding of stakeholder requirements, ensures complete transparency, and maintains continuous engagement with all stakeholders. Business Engagement is a large part of success in ITIL4.
- Design and Transition – Ensures that products and services continually meet stakeholder expectations for quality, cost, and delivery speed.
- Obtain/Build – Ensures that service components are available when and where they are needed and meet agreed specifications. This includes the build versus buy decisions for infrastructure services.
- Deliver and Support – Ensures that services are delivered and supported according to agreed specifications and stakeholders’ expectations.
- Improve – Ensures continual improvement of products, services, and practices across all value chain activities and the four dimensions of service management. Continual Improvement is a vital piece of ITIL4, as discussed below in the Service Value System.
Guiding Principles :
Another new concept introduced in ITIL4 is “Guiding Principles.” This term was introduced by Axelos in 2016 but finally incorporated in ITIL4. These principles were pulled from common improvement frameworks like Lean, Agile, and DevOps. Also, feedback from the consulting and corporate environments was incorporated.
- Focus on value – The concept of value has been included in ITIL for many years. Value is measured by the business customer from the delivery of products and services received.
- Start where you are – To mature and improve, every organization, program, and process must have a starting point, the desired goal, and a roadmap to get there.
- Progress iteratively with feedback – Technology teams have been in silos for decades, so incorporating feedback from users and business stakeholders to make iterative progress is a giant step forward. This principle is heavily influenced by Agile and Scrum frameworks.
- Collaborate and promote visibility – Collaboration with all stakeholders, inside Information Technology (IT) and with the business stakeholders is required in today’s environment. Not only do we need to collaborate outside of IT, but we also need to educate and market similarly. Service Management is quickly becoming an enterprise conversation, not just IT.
- Think and work holistically – Like the two principles above, this one seeks to reduce silos. The perspective should be on the enterprise. Establishing Centers of Excellence is one example of putting this principle into action.
- Keep it simple and practical – Many times, IT talks in technical terms and over-complicates the solution. This guiding principle encourages keeping the customer’s perspective with simple and practical jargon, conversations, and explanations.
- Optimize and automate – This guiding principle exhorts IT organizations to take their ITSM programs to the next level through optimization and automation. By automating low-value manual tasks, the customer receives a higher-quality product. Not only does optimization and automation save time, but they also save re-work from manual errors.
The concept of “Governance” was added to guide ITIL4 Service Value Systems, as discussed below. Governance was desperately missing from previous versions as today’s IT organizations require an increasing amount of power. This governance comes in various forms and looks differently from organization to organization.
Authority may encompass the entire enterprise, a specific product or service, program, or process. It needs to be aligned with the corporate or enterprise vision and goals and has the authority to direct, monitor, and evaluate performance. Governance needs leadership support to be effective.
ITIL4 introduced Service Value Systems (SVS), which encompasses many of the terms and concepts above. The Service Value System includes everything needed to create value for the business stakeholders in products and services. It encourages service providers – both internal and external – to think about how all the various service components needed to deliver services can help co-create value.
The Service Value Chain (SVC) is at the heart of the Service Value System (SVS). But, Guiding Principles, Governance, Practices (Processes), and Continual Improvement transform the Service Value Chain (SVC) into the Service Value System (SVS). Think of these four elements: enhancing, controlling, and improving the Service Value Chain (SVC).
ITIL4 introduced 4 dimensions –
- Organization and People
- Information and Technology
- Partners and Suppliers
- Value streams and Processes
You may be interested in reading more about ITIL V4 Principles and Concepts.