become-itil-foundation-certified-abhinav-kaiser(www.ebook-dl.com)

Chapter 4 ■ Service Strategy
3. Track investments across the lifecycle of a service to ensure
that the majority of the funds are going toward services
that are bearing maximum fruits and achieving business
outcomes.
4. Control what services are being offered, at what service levels,
and at what level of investment.
5. Keep a finger on the pulse whether the services are on
the path of strategic objectives of the organization and
appropriately responding to events (like technological
breakthroughs, market orientation, and customer
preferences) appropriately.
6. Retire services that are no longer viable for the organization to
continue maintaining.
4.8.1.3 Scope of Service Portfolio Management
All the services that are developed by the service provider, the services that are offered to
customers, and the services for which customers pay for come under the scope of service
portfolio management.
More specifically:
1. Services that are in the development stage
2. Services that are in the operational phase, offered to
customers
3. Services that are no longer in use, retired
4.8.2 Financial Management for IT Services
Financial management for IT services is needed to do business. It is the process that
enables the service provider to understand what is being spent, how much is being
allocated, and what is being charged to the customers. This process has the highest
visibility across the echelons of the organization. It is controlled by the top tier in the
organization but it flows down to every nook and corner of the organization. Every single
team in IT will have a budget to play with, need to account for expenses, and advise on
charging the customer.
For example, if the service provider is providing technical support to a customer’s
base, the service provider would have accounted for the number of PCs, servers, and
other IT equipment that needs to be managed. A contract would be signed between the
two parties listing the number of systems to be managed, at what costs, and at what levels,
and how quickly the service provider can respond, resolve, and support the service.
Suppose the customer procures additional laptops and a couple more servers during
the period of a contract; the service provider will have to charge the customer accordingly
based on the updated numbers. Suppose computer administrators were asked to work
58