The extent to which a business enterprise is able to exploit IT capabilities to achieve its business objectives is determined by the maturity of its IT organization. ITILv3 provides a set of good practices in order to build IT capabilities so that it is able to deliver what IT organization’s businesses and/or customers are looking for. IT organizational maturity ranges from just being a technology shop, i.e., Level 1, to become a value-chain value-add partner, i.e., Level 5. In this blog, we will try to gain better insights into what these levels actually represent. This discussion will help us with future topics as well.
Here is my perspective on different levels of organizational maturity.
Level 1 – Technology
IT organizations at maturity level 1 demonstrate the following characteristics:
Level 2 – Products / Services
IT organizations at maturity level 2 exhibit the following characteristics:
Level 3 – Customers
At maturity level 3, IT organizations are able to clearly understand their customers and what they actually need. At this level of maturity, IT organizations are able to identify the gaps between the products and/or services that they produce and the products and/or services that customers actually need. Based on this, IT organizations are able to improve/define services such that the actual customer/business needs are met.
Level 4 – Business
With the concrete understanding of 1) technology capabilities, 2) products and/or services produced, and 3) needs of the customers and/or businesses, IT organizations are able to run IT as a business at maturity level 4. Some of the characteristics are as follows:
Level 5 – Value Chain
IT organizations at maturity level 5 clearly understand the value chain, i.e., the way in which IT services enable business processes and ultimately create value for the end-customers (customers of your customers and/or businesses). These IT organizations are able to clearly relate their IT services to business processes and business products/services. At this level, IT organizations actually become value-add partners.
To learn more about these maturity levels and other related aspects, check out Learning Tree’s course, Achieving ITIL® Foundation Certification, and refer to my book ITIL Service Management: Implementation and Operation.
*ITIL® is a registered trade mark of the Cabinet Office