4 Deployment Guide Series: IBM Tivoli Usage and Accounting Manager V7.1
1.1 ITIL financial management
In today’s environment, businesses are very dependent on IT. Requirements
from customers for standard compliance are apparent and IT services are
required to better align with business objectives. The IT Infrastructure Library®
(ITIL®) is a set of best practices that can help address these issues.
ITIL is a collection of IT best practices designed to help organizations overcome
current and future technology challenges. Originally created by the UK Office of
Government Commerce (OGC) in 1988, ITIL currently has evolved as a result of
years of experience contributed by major IT organizations and companies,
ITIL is a library of books that document industry-accepted best practices for IT
service, infrastructure, and application management. ITIL is an excellent starting
point from which to adopt and adapt best practices for implementation in any IT
ITIL’s models show the goals, general activities, inputs, and outputs of the
various processes. They help to address the most common questions asked by
IT managers worldwide:
How do I align IT services with business objectives?
How do I lower the long term costs of IT services?
How do I improve the quality of IT services?
ITIL is currently on its Version 3 release. However, the discussion of ITIL in this
book is mainly based on ITIL Version 2. In the Version 2 publication, the contents
of ITIL are shown in Figure 1-1 on page 5.
Chapter 1. Solution introduction 5
Figure 1-1 The contents of ITIL
The most popular books of the ITIL are Service Support and Service Delivery.
These two books together form the Service Management discipline. The financial
management process is part of Service Delivery. This is apparent because
financial management is strategic for aligning IT to perform as a business entity
and providing the ability to manage IT as a business.
The Service Delivery aspect uses the configuration data for building IT services.
Service Level Management manages service level agreements with IT
consumers. Service level agreement is the base measurement of IT services
that are provided to consumers.
Financial management manages the day-to-day IT finances and quantifies IT
investment into IT Service improvement. It also generates a balance report of
IT budget and accounting.
Availability management ensures that IT services are available to the
business users. It identifies and mitigates risks involved with unavailability due
to an IT resource failure.
Capacity management ensures that IT can provide its services with
reasonable performance as dictated by the service level agreement. This
requires an adequate capacity of IT resources.
Planning to implement service management