What are the three practices of the svs?

May 16, 2019 |

 4 min read

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The Service Value System

Welcome back! This post is the third in a series in which I connect the key concepts of ITIL 4.

In the last article, we briefly covered concepts such as multiple stakeholders, PESTLE, and the Four Dimensions of Service Management. In this article we will be looking at the service value system.

The service provider can be regarded as a system that converts demand from a myriad of sources into value for multiple stakeholders. ITIL 4 calls this the service value system (SVS) and describes five component parts that interact with each other and external stakeholders to co-create value.

The five parts of the SVS are:

  1. Guiding Principles: These are recommendations on how to work, or make decisions, for example: focus on value, think and work holistically, or collaborate and promote visibility. Guiding Principles were first introduced in ITIL Practitioner in 2016. There are now7 guiding principlesin ITIL 4, including a new one: optimize and automate.
  2. Governance: ITIL v3 covered Governance in the Service Strategy book focused on evaluating, directing and monitoring organisational performance but didn’t include it in the examinations. As a result, most practitioners weren’t exposed to the concept through training programmes. ITIL 4 repositions governance as a necessary component of the SVS that allows the provider to convert demand into value for one or more stakeholder.
  3. Service value chain: This is a set of loosely coupled activities (or archetypes) that any service provider undertakes at some point (or even repeatedly). The service value chain is made up of six value chain activities – Plan, Engage, Design & Transition, Obtain/Build, Deliver & Support, and Improve. To put it another way the service provider – be it a developer managing a micro-service, or an enterprise delivering technology-enabled business services – will be engaging with external stakeholders, planning work, delivering and supporting live products and services, and so on. A journey through the Service Value Chain to convert demand to value is known as a Service Value Stream, and I’ll cover this concept in my next blog post.
  4. Practices: One of the challenges with ITIL v3 was that although the guidance was quite vast (some might say too vast!), the reality was that most practitioners only saw small subsets, usually through the lens of training and exams or a consulting engagement. Thus, the world came to see ITIL as a process framework, which couldn’t be further from the truth! With ITIL 4, we moved the focus towards “practices”, which is a holistic view of the resources and capabilities needed to deliver service management work. Practices follow theFour Dimensions modeland talk about:There are 34 practices in total, many of which are new to ITIL 4, and there are some processes in ITIL v3 that don’t have an equivalent in ITIL 4. Fun insider titbit: Practices were referred to as capabilities in early drafts of ITIL 4. Our crack team of translation experts pointed out that the word capability doesn’t translate well into many of the languages AXELOS supports, and suggested “practices” from the ITIL v3 glossary.
  5. Continual improvement: The entire SVS is in scope for improvement! It’s not just practices that can be improved – the way the organization works and makes decisions can be improved; the way the provider evaluates, directs and monitors its performance can be improved; certainly, the way the organization converts demand to value can be improved. We had many discussions in our Lead Architect Meetings about where to place continual improvement, and as a result you’ll see it both as a component of the system and as a practice.

The core components are the structure of the ITIL SVS (Service Value System) which are:

  • ITIL service value chain
  • ITIL practices
  • ITIL guiding principles
  • Governance
  • Continual improvement

What are the three practices of the svs?

The purpose of the SVS is to ensure that the organization continually co-creates value with all stakeholders through the use and management of products and services. The ITIL SVS describes how all the components and activities of the organization work together as a system to enable value creation. Each organization’s SVS has interfaces with other organizations, forming an ecosystem that can in turn facilitate value for those organizations, their customers, and other stakeholders.

The key inputs to the SVS are opportunity and demand. Opportunities represent options or possibilities to add value for stakeholders or otherwise improve the organization. Demand is the need or desire for products and services among internal and external consumers. The outcome of the SVS is value, that is, the perceived benefits, usefulness, and importance of something. The ITIL SVS can enable the creation of many different types of value for a wide group of stakeholders.

The ITIL SVS describes how all the components and activities of the organization work together as a system to enable value creation. These components and activities, together with the organization’s resources, can be configured and reconfigured in multiple combinations in a flexible way as circumstances change, but this requires the integration and coordination of activities, practices, teams, authorities and responsibilities, and all parties to be truly effective.

The architecture of the ITIL SVS specifically enables flexibility and discourages siloed working. The service value chain activities and the practices in the SVS do not form a fixed, rigid structure. Rather, they can be combined in multiple value streams to address the needs of the organization in a variety of scenarios. Organizations should be able to define and redefine their value streams in a flexible, yet safe and efficient manner. This requires continual improvement activity to be carried out at all levels of the organization; the ITIL continual improvement model helps to structure this activity. Finally, the continual improvement and overall operation of an organization are shaped by the ITIL guiding principles. The guiding principles create a foundation for a shared culture across the organization, thus supporting collaboration and cooperation within and between the teams, and removing the need for constraints and controls previously provided by silos.

With these components, the ITIL SVS supports many work approaches, such as Agile, DevOps and Lean, as well as traditional process and project management, with a flexible value-oriented operating model.

What are the three practices of the svs?

What is the definition of a practice in SVS?

Practices. Sets of organizational resources designed for performing work or accomplishing an objective. Continual Improvement. A recurring organizational activity performed at all levels to ensure that an organization's performance continually meets stakeholders' expectations.

Which are key inputs to the service value system SVS )?

ITIL 4 introduces the Service Value System, or SVS. The key inputs to this system are opportunity and demand, and the key output is value for customers and other stakeholders. The ITIL SVS describes how all the components and activities of the organization work together as a system to enable value creation.

What are the guiding principles in the service value system?

Progress iteratively with feedback. Collaborate and promote visibility. Think and work holistically. Keep it simple and practical.

What are ITIL practices?

In ITIL, a management practice is a set of organizational resources designed for performing work or accomplishing an objective. Previous ITIL versions focus on processes.