Return to site

STEP 3: The Business Case, Financials, Commercials - Developing & Implementing your Service Management Model

Service Management Design, Strategy and now into implementation; Part of a 10 part series

· Business Case,Financials,Commercials

FOR THE BUSINESS CASE, THE FINANCIALS AND THE COMMERCIALS TO BE SOUND AND ROBUST - YOU SHOULD HAVE:

THESE STEPS FORM YOUR MAIN INPUTS

With the information collected around:

  1. People
  2. Processes
  3. Tools, and
  4. Partners

The business case should start to emerge.

YOUR ANALYSIS SHOULD RESULT IN THE FOLLOWING KEY OUTPUTS

  1. Project Financials - covering not just the service management work stream, but the entire project including all the workstreams
  2. BAU Financials - the total cost to run and deliver once the solution is in production and running
  3. Price Book or Rate Card - complemented with the catalogue of services to be provided
Business case, financials and commercials

Insight 1:

IF you have constructed the Service Model well;

IF you have engaged with the internal & external supplier(s); and

IF everyone has understood their roles & responsibilities

THEN

you are well on your way to pricing & price-books; AND

with closing off contracts with suppliers - this is critical and this will be the next step

Have these approved, signed off, lock and load them into the appropriate tools, provide access and training.

Insight 2:

Ensure that at least the high level BAU financial processes are scoped and designed as part of this work, otherwise this effort would have gone to waste.

Don't forget to test and pilot the financial reporting and billing process - often easier said than done !

And with that you have given attention to the financials, commercials and the business case. As you can imagine this aspect is not only critical, but also complex and time consuming.

The key players in this are the commercial & business folks, with procurement and legal beginning to show a strong interest in developments.

Coming up next: Partners, Customers, People, Processes & Tools.

There are more than a few nuances as organisations undertake the journey to transformation, digital or otherwise. Service Management is a key component to success.

Sunit Prakash has had many successes in organisational transformation on a global and local scale.

More importantly he bears the battle scars from the many lessons learnt. Don’t be one of the walking wounded - or worse. Call him and head off some of the challenges before you even get to the pass.

Note: published 2nd Sept 2016 by the Institute of IT Professionals in their IITP Techblog

#ServiceManagement #ServiceCost #ITIL #ITSM #businesscase #commercials #financials #ratecard #pricebook #ROI

All Posts
×

Almost done…

We just sent you an email. Please click the link in the email to confirm your subscription!

OKSubscriptions powered by Strikingly