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Chapter 2 ■ Generic Concepts<br />

2.2.3 Assets<br />

Each of the items discussed under resources and capabilities are generally called assets.<br />

If these assets (resources and capabilities) contribute toward designing and running<br />

a service (thus creating value), they are referred to as service assets. Examples of service<br />

assets are infrastructure, networks, applications, and the organizational leadership that<br />

provides direction and governance.<br />

When the resources and capabilities are leveraged by a customer to achieve business<br />

out<strong>com</strong>es, these resources and capabilities are referred to as customer assets. Examples<br />

of customer assets are people (both as a resource and capability), applications, and<br />

processes. Note that it is highly likely that service assets and customer assets can be the<br />

same, as the same set of assets are leveraged to deliver services to a customer (service<br />

asset) and are leveraged by a customer to achieve business objectives (customer asset).<br />

Asset: Any resource or capability.<br />

Service asset: Any resource or capability used by a service provider to<br />

deliver services to a customer.<br />

Customer asset: Any resource or capability used by a customer to achieve<br />

a business out<strong>com</strong>e.<br />

2.3 Types of Service Providers<br />

A service provider is someone who provides service to the customer. In today’s world, the<br />

person offering the service could be embedded in your team or your organization or an<br />

outside entity.<br />

In ITIL, and in this book, when I refer to the term service provider, I am referring<br />

to the nuance of an entity delivering service, and it is applicable to each of the service<br />

provider types that I am going to discuss.<br />

2.3.1 Type 1: Internal Service Provider<br />

The first type is an internal service provider. When I say internal, I am referring to the<br />

service provider organization that is embedded inside business units. The service<br />

provider is exclusive to each of the business units.<br />

Business units are also referred to as towers (or verticals) in an organization.<br />

Examples include a banking business unit, a retail business unit, and a research and<br />

development business unit. So, in each of these business units, a service provider team<br />

exists. In this structure, an organization will end up having as many service provider<br />

teams as the number of business units.<br />

Pros: The service provider is localized to the business unit and the customers can<br />

expect personalized service. This structure allows the service provider to be aware of<br />

the business unit’s requirements, expectations, and unstated needs. This is a distinct<br />

advantage in servicing the customer.<br />

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