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Service Management Approach in a Service Centre Organisation

1. Standard Delivery Solution

Standard Delivery Solution is a detailed description of Accenture Delivery Capabilities around people, processes and technology. 

It is the documentation of the standard services that Accenture offers within the Outsourcing delivery.

Standard Delivery Solution is the key enabler of the objective to become the provider with the first truly industrialized, global outsourcing delivery model. It is a critical building block as towards the one – to – many service delivery operations – like model for all of the outsourcing offerings and delivery. 

Its definition and documenting helps drive increased measurability, predictability and repeatability for all clients and lower cost to serve and cost of poor quality for Accenture.

Service Delivery Solution is about client centricity and integrity. It allows Accenture to sell what we can deliver and deliver what we sell. Accenture has high confidence level that we can deliver to our client’s expectations. 

Defining the Standard Delivery Solution provides the baseline against which Accenture will measure all of the deals. With the Standard Delivery Solution in place, we will understand the impacts when we deviate from our standards. 

2. Service Management

Service Management describes all activities that define and encompass the interface between the client and delivery organisation and governs all aspects of service delivery. Service Management works with delivery and account management to ensure the account meets the service commitments to the customer. 

The purpose of the Service Management is to provide an independent and consistent method of controlling, measuring and monitoring the service that Accenture provides to the clients. Accenture aims to provide common Service Management processes in all deals across all geographies, ensuring a consistent client experience with a focus on customer service. 

2.1. Service Management Scope 

Service Management provides an independent and consistent approach to support client teams and delivery organisation with methodology to establish, control, report and review services.

Specifically Service Management comprises the following functions: 

  • Performance Management
  • Scope / Change Management
  • Governance Management
  • Document / Quality Management
  • Resource / Demand Management
  • User Relationship Management
  • Incident / Problem Management
  • Issue / Risk Management

The purpose is to achieve increased quality, reduce the risk and lower the cost of service. 

The concise definition of the service requirements and accountabilities with performance measures, as well as an interface for reporting and tracking service related issues. The aim is to ensure regular, timely service performance reporting and provide structure for compliance and quality reviews and diligence in documenting results of these reviews. Further to establish the framework for continuity of service and control over Service Management work being done. 

2.2. Service Management Framework 

The detailed scope of work is contractually defined in the Master Services Agreement and Local Operating Agreements. 

The Service Management User Guide provides a handbook that defines the services and Service Management processes used by Accenture and clients in their outsourcing relationships. 

It aims to ensure at a high level that a common understanding is established in both Accenture and clients on the arrangements for both providing service and roles and responsibilities of each party. 

The objective of the document is to describe the operating governance structure, management boards and meetings structure. Further to describe the roles, responsibilities in terms of Service Management as well as describe the service definitions, service levels and service reporting provided by Accenture. 

The document also explains Accenture incident and problem management process, including critical incidents, issues and risks management procedures. 

It covers also the change control process, including change requests and IT change approval board procedures. 

Service Management Framework has been developed and implemented which governs the way Accenture and clients work together. It is based on following principles:

2.2.1. Statement of work

The Statement of work is primary document for defining services provided by Accenture to the clients. It represents contractually agreed definitions and service commitments between the parties.

2.2.2. Service Level Agreements 

The Service Level Agreements define the key services provided to clients by Accenture operations delivery. A common set of service items will exist to describe the services delivered although the scope and target level of service may vary by country or region (as defined in the Local Operating Agreements). 

The Service Level Agreements provide a mechanism to quantify the volume of business and the level of performance. 

2.2.3. Measures

The key measures used to measure and report the performance include Key Performance Indicators, Business Volume Indicators and Reverse Key Performance Indicators. 

The Key Performance Indicators are used to measure the level of performance. 

The Business Volume Indicators are used to measure the volume of the work processed. 

The Reverse Key Performance Indicators are used to measure the level of client performance.

2.2.4. Reports 

The various types of reports are produced on regular basis (daily, weekly, monthly, and ad hoc). The aim is to provide the insight into the Accenture overall performance, Client performance to all relevant internal and external stakeholders. 

The outcome is the summary reports of service delivery, financial performance and satisfaction results to the client. 

2.2.5. Review 

Regular service review meetings are held for each relevant area on regular basis. These meetings review the performance detailed in the various types of reports (service delivery, financial performance and satisfaction results). 

2.2.6. Change request 

Changes and continuous improvement activities to the services are managed by the change control procedure. These changes take the form of a formal change request. Any changes to the scope, volume or the process are jointly assessed through the change request process. The purpose of the change process is to provide clear overview of the change control process, create detailed procedures for managing the changes and document detailed 
procedure for managing Accenture deployments. 

2.2.7. Analysis and improvements 

The analysis of the performance is being done on regular basis. Any improvements are being implemented to improve the daily operations. Once the business case is documented, the benefits for Accenture and client are captured; the overall impact and cost estimates will be performed. 

Once the decision is made, the improvements will be implemented by defining detailed timeline, defining implementation plans / teams and determining the dependencies and risks.

Service Management Frameworks

3. Performance Management

3.1. Performance Management Process 

The Performance Management Process encompasses all relevant activities to ensure that goals are consistently being met in an effective and efficient manner by implementing goal based measures and reporting results to internal Accenture and external client stakeholders. This includes defining and maintaining metrics (SLAs, OLAs, internal and external metrics), identifying data sources and collecting data, generating reports, and holding review meetings on results with internal and external stakeholders. 

Service Management delivers performance results in a consistent and repeatable manner with key insights to a summary view of service delivery, performance trends, financial performance and client satisfaction. 

Communication of service performance is inclusive of both internal (management, account, operational, service offering) and external (clients, customers) stakeholders. 

3.1.1. Objective of the Performance Management Process 

The objective of the Performance Management Process is to provide various audiences with information about Accenture performance, client performance, various dependencies and service volumes. The audience covers client customers, client users, Accenture contract leadership, factory leadership, contract service delivery leadership, service delivery management, operations management. 

Service Performance data is delivered in a standard format with key insights to a summary view of service delivery, performance trends, financial performance and client satisfaction. 

3.1.2. Benefits of the Performance Management Process 

The main benefits of the Performance Management Process are to achieve the transparency and focus of the reporting. The aim is to run the organisation effectively and successfully, provide the data for leadership to make important decisions. One of the benefits is to help Accenture to meet the contractual obligations, as well as to ensure the client satisfaction. 

3.1.3. Inputs of the Performance Management Process 

The inputs of the Performance Management Process are the various data captured automatically in Service management and Service delivery systems / applications and manually in tracking documents (such as excel documents) by operations teams. These are the report delivery schedules, distribution lists, reporting templates, reporting process documentation defined and agreed during mobilization phase. 

3.1.4. Outputs of the Performance Management Process 

The outputs of the Performance Management Process are various reports delivered on regular (daily, weekly, monthly, etc) and ad hoc basis. 

These reports cover internal Accenture and external clients reporting: operational reports, performance reports, delivery performance packs, scorecards, SLAs, metrics and trends. It is necessary to ensure that the backup procedures for performance reporting due to the heavy workload are in place. 

3.2. Performance Measures Definitions 

The Performance Measures are defined as part of the Service Management framework 
during the mobilization phase of the project. The joint agreement on the key performance 
measures is done between Accenture and the client. The management operating system is 
accurately and completely reporting service delivery performance on a regular basis as an 
integral part of the management operating system. It includes the set of standard reports and 
scorecards covering the key performance measures. 

3.2.1. Service Level Agreements 

The Service Level Agreement is agreement that describes how service performance provided to the customer will be measured. It is used to measure the delivery performance. The Service Level Agreement metrics are documented reviewed, updated periodically in order to meet the changing business and technical requirements. The Service Level agreement metrics are being defined according to the guidelines and assumptions prior the run phase of the project. 

3.2.2. Operational Level Agreements 

The Operational Level Agreement metrics are contingent levels of service required to be performed by supporting organisations to facilitate the fulfilment of a Service Level Agreement. The Operating Level Agreement includes definition of the Operating Level Agreement, the targets, frequencies and process descriptions. 

3.2.3. Key Performance Indicators 

The Key Performance Indicators are set of metrics used to quantify the service level success. They are quantifiable measures used for evaluating service performance against critical success factors. The Key Performance Indicators are process focused, focusing on business outcomes versus functions. The driving principle behind the standard 3 x 3 scorecard is that inputs drive outputs. The input Key Performance Indicators are managed within operations to deliver the output Key performance Indicators. 

3.3. Performance Reporting and Analysis Capability 

The Performance Reporting and Analysis Capability enable consistent and repeatable communication of service performance data to both internal and external stakeholders to drive the adoption of the outsourcing metrics programme. 

3.3.1. Purpose of the Performance Reporting and Analysis Capability 

The main purpose of the Performance Reporting and Analysis Capability is to fulfil the contractual requirements for providing service performance reporting to clients, to identify the trends in performance – either areas of excellence or areas for improvement. Further to provide the summary reports of service delivery, financial performance and satisfaction results to the clients. The purpose is also to provide the detailed and summary reports for in scope areas to internal stakeholders. Finally to provide the multiple roll ups of data to support Accenture operating structures.

3.3.2. Overview of Performance Reports 

The standard set of Performance Reports used to measure and report daily delivery 
performance includes: 

  • Service Delivery Performance (speed, cost, quality)
  • 3 x 3 Scorecards, inflow / outflow metrics, FTE availability, success matrix
  • Growth, Innovation, Mobilization, Risk Management, Status of Watch Contracts, Maturity

The focus of the Performance Reports covers: 

  • Performance and Balanced Scorecards – Management
  • Client Service Reporting (SLAs, OLAs, metrics and targets) – Client
  • Performance metrics and targets (cost, size, speed, quality, defects, volume, rework, requirement conformance) – Operations

3.3.3. Performance Reports and Trend Analysis 

The standard approach in terms of performance reporting is to collect performance data, assemble and analyze the data, finalize and approve them and publish and maintain and finally conduct the SLAs review. 

Various metrics gaps and trending analysis are being performed. Focus is to analyze and interpret the reports and highlight any important points. All historical reports must be archived. 

4. Change Management

4.1. Change Management Process 

Change Management Process encompasses activities that ensure that proposed changes to any aspect of services under the contractual control of the account (application components, processes, documents, infrastructure, etc) are controlled, monitored and implemented with minimum disruption to the services being delivered. These can be controlling changes to any aspect of the services: to the infrastructure, to an application component, to a process or a document. 

4.1.1. Objective of the Change Management Process 

The objective of the Change Management Process is to ensure that every change request is properly captured, documented, evaluated, approved and implemented. The frequency of the change process is ongoing; the process steps are executed on daily and weekly basis. 

4.1.2. Triggers of the Change Requests 

The main triggers to the change requests are the changes to operational processes (system changes, process changes, new technology implementation, and changes to local law or regulations, continuous improvements). 

Further the changes to the Service Level Agreements or Reverse Service Level Agreements and request for changes in operational scope. 

4.1.3. Key Considerations in Change Management Process 

It is critical that service delivery, service management and contract management are well integrated in the change management process. Service delivery is responsible for identifying, logging change requests, assessing change impacts, gathering approvals for implementation and implementing the changes. 

Service Management is responsible for providing coaching on how the process should be executed properly; process rigour should be maintained and conducting regular change review meetings. 

Contract Management is responsible for conducting assessments on change requests to determine if contract impacts are present in a given change request and then processing any contracting steps related to change request. 

4.2. Change Management Process Steps 

The Change Management Process provides a structure around how to control, monitor and implement the proposed changes to any aspect of the services under the contractual control of the account with minimum disruption of the delivered service. 

It drives to ensure: 

  • Change Requests are captured, documented, evaluated, approved and implemented on time
  • Represent controlled way to introduce changes to engagement during service delivery in order to minimize risk
  • Assist delivery teams in better planning for change requests, to implement them on schedule and improve the client satisfaction
  • Provide consistent, comparable reporting to delivery leadership and clients
  • Ensure Accenture and clients remain in compliance with the agreed contract
  • The outcome is a change request delivered on time, and on budget to support changing client business requirements

4.2.1. Initiate Change 

The initiation of a change includes the recording and the classification of the change request. The main categories of change requests are business process improvements, changes and enhancements with and without IT impact, incidents rose at service desks where an incident is identified as requiring change request, issues raised in application identified as requiring change. 

It covers also the risk and impact analysis. The risk and the impact analysis are done in terms of the effort required for design, build, test, deployment and operations. The impact on Service Level Agreements and Key Performance Indicators is assessed as well. The overall estimated cost is calculated and documented in change request form. 

4.2.2. Approve Change 

To approve a change request it is necessary to obtain the internal change request approval, conduct the internal and external client request review, obtain the client approval and deliver on urgent change requests. As part of the approval change request process it is necessary to perform the commercial review and obtain commercial approval. All approvals must be documented in change request form. 

4.2.3. Execute Change 

The execution of a change management process covers the planning of the change, build, plan deployment and execute the test. It is necessary to determine the timing for the implementation of changes and define the implementation plan accordingly. The implementation stage includes the preparation of work plan, budget approval, and communication to the internal and client stakeholders, staffing confirmation, changes implementation and deployment and finalization of the change request form. 

4.2.4. Conduct Change Post Implementation Review 

The final stage of the change management process focuses on conducting the post implementation review, change request closure, billing process, contract update in terms of conducting the annual review of service definition and the statement of work. 

Service Change Mechanism

5. Issue, Risks, Incident and Problem Management

5.1. Issue Management 

The Issue Management provides systematic approach for identifying and managing situations or concerns which require a resolution for a current event. Since an issue is a presently occurring event, it cannot be mitigated, and must be resolved. Management includes the steps needed to identify and assess issues, escalate issues and manage communications, and monitor and report progress in resolving issues. An issue might adversely affect budget, quality, schedule, performance, system design, or overall service delivery. 

5.2. Risk Management 

The Risk Management covers the identification and analysis of risks where the projected differs negatively from what is expected on any undertaking including compliance to regulatory requirements, followed by selection and adoption of countermeasures to reduce the probability of the risk being realized or if realized, reduce its impact to an acceptable level. The risk is a combination of the likelihood of business disruption and the possible loss that may result from such a disruption. 

5.3. Incident Management 

The Incident Management encompasses activities that provide organisations with the ability to manage (record, assign, track, monitor and close) unplanned interruptions to service (incidents) with the primary objective of restoring normal service operations as quickly as possible. The Incident Management is reactive and is typically in response to some adverse event. Incidents can be reported by users, by operations personnel, or automatically detected and reported by monitoring devices. The service desk typically tries to address these interruptions or incidents and in cases where they are not able to resolve them they route the incidents to the correct support resources in order to resolve them as quickly as possible. 

5.4. Problem Management 

The Problem Management consists of those activities for managing and diagnosing the underlying cause of the interruption to normal service delivery. The Problem Management can be reactive or proactive when problem occurs; trends are identified and diagnosed through root cause analysis. The objective of the Problem Management is to prevent further interruptions from happening and minimize number and impact of any that cannot be prevented. The Problem Management may result in identification of continuous improvement items to improve quality and efficiency of service delivery and operations, thereby ultimately reducing cost of service delivery. 

6. Governance Management

6.1. Governance Management Process 

The Governance Management is a formal relationship structure that ensures a balanced relationship between the client, customer and internal Accenture organisations is maintained. Also provides an agreed – to – structure for effective, timely decision making as well as a basis for escalation. The establishment of governance is critical to developing an effective working relationship. The Parties agree to a tiered Governance Model with specific 
roles and responsibilities defined to oversee and manage the provision of the services effectively. 

6.1.1. Objective of the Governance Management Process 

The objective of the Governance Management Process is to ensure that the agreed meetings take place, the agenda of the meetings is followed, the meeting outcomes are documented and agreed actions are followed till resolution. 

The frequency of the meetings varies depending on the level of the meetings. These can be joint review boards (quarterly or mid – yearly), operational service review meetings (monthly) and regular operational meetings (weekly or daily). 

The meetings and the meeting schedule are owned by Service Delivery management and the Account Delivery management. 

6.1.2. Inputs and Outputs of the Governance Management Process 

The inputs in the Governance Management Process are the meeting minutes and the actions items from previous meetings and the management reports including the supporting documents needed for the relevant meeting. The inputs can include any special or critical items that will be raised during the particular meeting. The outputs are the meeting minutes and the action items of the current meeting. All documents including the meeting minutes 
from all relevant meetings are archived. 

6.1.3. Service Management presence in the Governance Management Process 

Service Management actively manages the governance framework and owns several 
aspects of the governance such as: 

  • Proactively managing the governance meeting schedule
  • Documenting and driving key action items from governance meetings
  • Proactively managing the client – special governance framework over time as needs change

Service Management participate at all relevant meetings, submits meeting inputs, writes the 
summary, and ensures the logistics and complete submission of documents to the relevant 
attendees. The role of Service Management is also to provide the answer to the questions in 
regard to metric results and methodology used for calculation of the service reports and 
provides root cause analysis for any relevant items. 

7. Contract Management

7.1. Role of Contract Management 

The Contract Management directs the execution of the terms and conditions of the contracts by effectively communicating the key points of the contracts and by identifying, interpreting, tracking and evolving key contracts deliverables to serve and protect the best interest of all parties (Accenture, client and third parties). 

The Contract Management also manages and protects the company’s, the clients, and third parties assets (intellectual property) and continually monitors applicable statutes and regulations that can potentially impact the delivery of services. The Contract Management makes sure that all business objectives defined as services, obligations, and restrictions in the contract are met and delivered, and if not, defines an alternative and updates the contract with an addendum. 

The Contract Management is present in all stages of the Service Management processes and aspects by focusing on contract compliance, optimizing the contractual commercial position.

© Zuzana Gavornikova MBA, 2014 
Reviewed 2022

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