Welcome!

@DXWorldExpo Authors: Kevin Benedict, Zakia Bouachraoui, Elizabeth White, Maria C. Horton, Liz McMillan

Related Topics: @CloudExpo, Microservices Expo, Agile Computing, Cloud Security, @DXWorldExpo, SDN Journal

@CloudExpo: Article

Rethinking IT as a Service Experience

IT leaders need to make themselves relevant to external customers by understanding where they deliver value

Inside the world's companies and government departments, IT organizations have traditionally focused on delivering to internal customers. This has created an environment where IT is expected to align the services it delivers with age-old business processes that have evolved over years of operation, and is focused on efficiency. Delivering innovation and new ideas has become fraught with unnecessary complexity and internal politics, and strategically IT remains a back-office function.

Meanwhile, in the outside world, things have changed. IT is now front of house, delivering to consumers via online and mobile apps, whose expectations are higher. IT is part of the customer relationship and, as a result, it is expected to deliver its service promise and for problems not to occur. Social media has meant that when there are problems, they occur publicly. In the time it can take to raise a trouble ticket on a service management system, a consumer problem can surge on Twitter and reach thousands, damaging an organization's reputation. At the same time, organizations now have access to more information about their customers and services than ever before, which provides huge potential for transforming their services.

As a result, IT is moving from being a back office overhead to the front office where it is a means of creating value. At the same time, it is being expected to provide much higher levels of service and meet more flexible requirements, and deliver all of this for a lot less.

As consultants, we are seeing an increased interest in companies rethinking their IT and designing it around the service experience; that is IT designed and delivered for the benefit of external customers. This is more than just being responsive; it is about taking responsibility for the delivery of service.

As you might expect, this shift is taking place in organizations that rely on fast-moving technology to deliver their services to consumers. These include technology organizations, mobile telecoms, utilities, and financial services. However, we are also seeing similar signs of change in companies which sell to businesses as well as forward-thinking government departments.

When we talk to people about designing IT organizations in a digital environment, the following themes recur:

Designing IT operations around service
There have been great strides in making IT organize itself around the concept of "services," in the sense of the services to underpin existing business processes. There are many advantages to this way of thinking, as service levels allow us to organize coherently and manage costs. At the same time, this thinking is fundamentally based on IT as an overhead.

Consumers, on the other hand, only know one service level: "do I like it?" When IT is key to delivering the service the customer receives, surely this should mean changing attitudes, behaviors and competencies to focus on service? And by service, we don't mean service levels. After all, when was the last time you were quoted SLAs when you booked a holiday or hotel room?

Of course, there is much more to service experience than simply delivering great customer service. Organizations need to make a step change in how they design and deploy their services. We can all name organizations with a reputation for offering world class services, from Apple and Amazon, to Disney and John Lewis. Organizations like these will put as much effort into the design of their services as they do to the products that underpin that service.

They understand that how their customers feel about their services, i.e., their experience of using those services, is just as important as what they deliver. By taking an outside in approach and understanding what really matters to their customers, it is possible to revolutionize services.

In any environment, great service people are proud of their ability to solve customers' problems and make customers feel great. If you know an IT service manager, try asking them if they're proud of what they do. I'm willing to wager that although they may want to be proud of the service they provide, they're not right now.

Knowingly delivering service
IT managers typically know where they're not delivering. Ask any big organization about their IT services, and they will probably talk about incidents and problems, change and configuration management. These processes all start from the premise of IT services as risky and expensive things that break a lot. IT is too often focused on the avoidance of problems, which is not helped by a hero culture that puts more emphasis on getting that critical service back up and running, rather than questioning the fundamental design of that service.

IT organizations know a lot less about how the business as a whole is delivering IT. We are seeing a growing emphasis on managing end-to-end processes from an IT viewpoint, and in particular in understanding where services are actually being delivered, rather than not delivered. In some organizations, this has meant the introduction of process monitoring and providing service performance information to manage the experience at points where IT services impact external customers. In other organizations, particularly with processes that span multiple suppliers, this has been about introducing stronger governance and decision-making to manage end-to-end processes.

In today's digital world, we are seeing more and more organizations turning to IT to solve business problems. This means IT organizations need to get better at understanding where services are being delivered to customers, and where they are not. In some organizations, this has meant the introduction of process monitoring and providing service performance information to manage the experience at points where IT services impact external customers. Increasingly, IT organizations are able to alert the business of potentially damaging service problems through applying predictive analytics to monitoring information.

Getting service right first time
When companies launch new products and services, consumers are less inclined to be forgiving because services are new. Expectations are that services will work the first time and be simple to use. For IT, where services are often more complicated and involve more suppliers and partners, far more effort must be put into the design and launch of services. Getting service right the first time has traditionally played second fiddle to day-to-day operations - but in the world of service experience, both are equally important. Just ask Richard Williamson, the manager of Apple's Map division, who was running the maps services when iOS 6.0 came out. As consumers found errors in the mapping data, and compared the new service unfavorably with Google Maps, he found himself very publicly without a job. At the same time, Apple lost several billion dollars from its market capitalization, and re-arranged its top team.

In the new world of technology services, and service experience, consumers expect services to work the first time. At the same time, IT services are typically being delivered by more than one organization, often including multiple outsourced contracts. The sourcing community often talks about the need for "service integration" as a layer of process and governance to make multi-sourced services work, which is true. Just as true, but not mentioned as often, is the need for a much stronger emphasis on service design across all parties involved. IT organizations are increasingly responsible for both.

Earning the right to deliver great service
IT operations is a tough field where in many executives' eyes, you're only as good or as bad as your last outage. Or to put it another way, IT should be seen and not heard.

Perhaps the hardest challenge in moving to a new model is IT earning the right to have a voice. Our clients tell us that earning that voice can come from two sources. IT, and indeed organizations as a whole, need to be really clear on where IT makes a difference to external rather than internal customers. Where it doesn't make a difference, IT needs to be ruthlessly simplified and standardized. This, of course, fits well with the external pressures on cost reduction and, in these troubled times, it is easy to make the case for cost reductions. At the same time, standardization shines a light on some of the most deeply entrenched views within IT organizations themselves. As soon as IT is held against a benchmark of external value, talented people will be at risk of realizing that they're not adding value. While addressing this will help IT address its cost base, it's not necessarily a positive experience.

At the same time, as standardization and cost reduction, IT needs to make a difference visibly to service and take responsibility for what is delivered to customers. This is perhaps the biggest change - just taking ownership. As one of our clients from mobile telecommunications put it: "Earning the right to deliver great service is also about earning the right to be recognized for being more than a responsive org. It's about changing people's attitudes that you are around just to fix stuff. You are also a custodian of service."

Moving to service experience
In the move to a world where IT provides the service experience, there is much to change. IT leaders need to make themselves relevant to external customers by understanding where they deliver value and cut away activity where this isn't the case. They need to build a vision where IT takes ownership for delivering service and has a culture of responsiveness. They need to change the way that IT services are designed and deployed to guarantee service.

Any one of these changes is significant and difficult, and instinctively we know that Rome wasn't built in a day. At least, that's the way it was back when Rome was built. Today, in the modern world of technology, the rules are different, and large parts of Rome are built every day. The time to move is now.

More Stories By Alan Young

Alan Young is an IT transformation expert at PA Consulting Group and leads the firm’s work globally in IT Transformation. His background is in working for organizations where IT and technology are core to the delivery of service, such as digital media, telecoms and policing. He is a passionate exponent of Service Experience; that is, designing and delivering IT Operations for consumers rather than internal customers. He has a strong background in both introducing cultural change for service as well as harder edged commercial discipline. He has applied this service-based approach to both in-house operations and external suppliers, from small departments through to large multi-sourced outsourced environments.

More Stories By Alisa Thompson

Alisa Thompson is an IT transformation expert at PA Consulting Group. She combines extensive service management experience with proven project and program management capability. She has a breadth of service delivery and helpdesk management experience, which together with ITIL® accreditation, enables her to deliver pragmatic, business aligned IT service management solutions. She has worked in both the public and private sector, with particular experience in the healthcare and utilities sectors.

Comments (2)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


DXWorldEXPO Digital Transformation Stories
@CloudEXPO and @ExpoDX, two of the most influential technology events in the world, have hosted hundreds of sponsors and exhibitors since our launch 10 years ago. @CloudEXPO and @ExpoDX New York and Silicon Valley provide a full year of face-to-face marketing opportunities for your company. Each sponsorship and exhibit package comes with pre and post-show marketing programs. By sponsoring and exhibiting in New York and Silicon Valley, you reach a full complement of decision makers and buyers in ...
There are many examples of disruption in consumer space – Uber disrupting the cab industry, Airbnb disrupting the hospitality industry and so on; but have you wondered who is disrupting support and operations? AISERA helps make businesses and customers successful by offering consumer-like user experience for support and operations. We have built the world’s first AI-driven IT / HR / Cloud / Customer Support and Operations solution.
LogRocket helps product teams develop better experiences for users by recording videos of user sessions with logs and network data. It identifies UX problems and reveals the root cause of every bug. LogRocket presents impactful errors on a website, and how to reproduce it. With LogRocket, users can replay problems.
Data Theorem is a leading provider of modern application security. Its core mission is to analyze and secure any modern application anytime, anywhere. The Data Theorem Analyzer Engine continuously scans APIs and mobile applications in search of security flaws and data privacy gaps. Data Theorem products help organizations build safer applications that maximize data security and brand protection. The company has detected more than 300 million application eavesdropping incidents and currently secu...
Rafay enables developers to automate the distribution, operations, cross-region scaling and lifecycle management of containerized microservices across public and private clouds, and service provider networks. Rafay's platform is built around foundational elements that together deliver an optimal abstraction layer across disparate infrastructure, making it easy for developers to scale and operate applications across any number of locations or regions. Consumed as a service, Rafay's platform elimi...
In his general session at 21st Cloud Expo, Greg Dumas, Calligo’s Vice President and G.M. of US operations, discussed the new Global Data Protection Regulation and how Calligo can help business stay compliant in digitally globalized world. Greg Dumas is Calligo's Vice President and G.M. of US operations. Calligo is an established service provider that provides an innovative platform for trusted cloud solutions. Calligo’s customers are typically most concerned about GDPR compliance, application p...
Growth hacking is common for startups to make unheard-of progress in building their business. Career Hacks can help Geek Girls and those who support them (yes, that's you too, Dad!) to excel in this typically male-dominated world. Get ready to learn the facts: Is there a bias against women in the tech / developer communities? Why are women 50% of the workforce, but hold only 24% of the STEM or IT positions? Some beginnings of what to do about it! In her Day 2 Keynote at 17th Cloud Expo, Sandy Ca...
New competitors, disruptive technologies, and growing expectations are pushing every business to both adopt and deliver new digital services. This ‘Digital Transformation’ demands rapid delivery and continuous iteration of new competitive services via multiple channels, which in turn demands new service delivery techniques – including DevOps. In this power panel at @DevOpsSummit 20th Cloud Expo, moderated by DevOps Conference Co-Chair Andi Mann, panelists examined how DevOps helps to meet the de...
According to Forrester Research, every business will become either a digital predator or digital prey by 2020. To avoid demise, organizations must rapidly create new sources of value in their end-to-end customer experiences. True digital predators also must break down information and process silos and extend digital transformation initiatives to empower employees with the digital resources needed to win, serve, and retain customers.
In his keynote at 18th Cloud Expo, Andrew Keys, Co-Founder of ConsenSys Enterprise, will provide an overview of the evolution of the Internet and the Database and the future of their combination – the Blockchain. Andrew Keys is Co-Founder of ConsenSys Enterprise. He comes to ConsenSys Enterprise with capital markets, technology and entrepreneurial experience. Previously, he worked for UBS investment bank in equities analysis. Later, he was responsible for the creation and distribution of life ...