Improving Service Delivery Through An Electronic Service Catalog

1. Improving Service Delivery ThroughAn Electronic Service Catalog Kai Holthaus Director, Shared Services Governance McKesson Corporate IT • Brandy DeMarco • Sr. Product Manager, IT Shared Services • McKesson Corporate IT

2. Introduction

3. Agenda • ITIL v3 and the Service Delivery Model • Electronic Service Catalog • Lessons Learned and Q&A

4. Who Is McKesson? • Largesthealthcare services company in the world • Fortune 18 – $93 billion in revenues (FY07) • More than 32,000 employees dedicated to healthcare • OldestU.S. healthcare company • Established 1833 –175 years driving innovation in healthcare • Onlycompany offering solutions at every point of care • Deep clinical, IT and process expertise

5. The Market Leader in Our Businesses McKesson Distribution Solutions McKesson Technology Solutions • No. 1 pharmaceutical distributor in U.S., Canada and Mexico • No. 1 primary care and extended care medical-surgical supply distributor • No. 1 independent retail pharmacy franchise, Health Mart • No. 1 generic drug distributor • No. 1 in hospital pharmacy robotics • No. 1 in care management software and services for payors • No. 1 in disease management for Medicaid agencies • Leader in clinical, revenue cycle and resource management • More “Best in KLAS” products than any other company

6. Service delivery model

7. Service Delivery ModelOverview Service Portfolio Governance Change Management Financial Management Service Catalog Service Design & Implementation Service Life Cycle Demand Forecasting Capacity Management Service Level Management Request Fulfillment Portfolio Management Sunsetting

8. Service Delivery Model:Life Cycle Idea Oppor-tunity Design Tran-sition Oper-ations Retired • Prioritize Service Pipeline • Build Service Design Package • Business Case • Enter services into Service Catalog • Release new and changed services into production • Operate Service “Factory” • Charge customers for services • Manage Service Strategy • ManageService Sunset • Receive Ideas • Validate Ideas • Enter into Service Portfolio

9. Life Cycle Process DesignProcess Flows and RACI Model • Sequence of tasks • Deliverables • Clear roles and responsibilities • Clear accountabilities

10. IT Service Governance • CIO Council: • Approve recommendations • Prioritize initiatives EC Governing Board • Technology Council: • Enable joint planning • Recommend Opportunities CIO Council Technology Council • Product Review Committee: • CIT Portfolio Oversight • Approve ideas Product Review Committee

11. Service Components Service Catalog Business Catalog Technical Catalog Server Email Server OS All items in Business Catalog are made up of one or more items in Technical Catalog. Storage Email Service LAN Network Infrastructure WAN

12. Inventory of Services • Hardcopy of Catalog • Electronic Catalog Service Catalog • Scrubbed list of services • Services that customers choose to order • Served as launching pad for next step • Inventory of all services we deliver • Categories • Implemented service catalog system • Allows customers to order or budget for services they need

13. Electronic Service catalog

14. Why Have a Service Catalog? Would you rather search for and fill out 7 forms… Or push a single button?

15. The Starting Point for IT Transformation Effective IT transformation strategies start with a customer-focused Service Catalog, defining the relationship between IT & the Business. A Service Catalog is a full menu of services that IT provides to its business customers, including information about service-level agreements and costs. Benefits include: Enhanced Visibility Service Catalog Request Services Defined Delivery

16. Service Catalog Analytics PortfolioCenter & DemandCenter Portfolio Relationship MyServices Executive Relationship Manager Relationship Managers BusinessCustomer Service Catalog RequestCenter Demand Delivery MyServices Consumer Service Manager Fulfillment Teams End User 16

17. Numerous Data Sources People Management Service Portfolio Service Catalog Transaction Perform Calculations Asset Management Mainframe Phone Management Storage Management Service Catalog Database LDAP Project Portfolio Management Reporting and Invoicing Email Financial Management

18. I need a … “Where do I send this request?” “My computer needs to be refreshed!” “I need a cubicle, preferably one away from the break room.” “I need a new cell phone!” “I need a LAN line connected to the third port in my office, a new monitor, a new headset for my VoIP phone and a new AirCard, but one that’s not USB because the USB ones stick out and snap off all the time and last time it happened I needed to get a new motherboard for my laptop too!” “Who needs to approve my request?” “When am I eligible for an upgrade?” “I need a network account for my new hire.” “When do those newiPhonescome out?” “I need a new shared calendar for the team.”

19. Suzy the “New Hire”Vice President of Some Organization • Suzy’s manager would have to know how to order all of these items, manually on separate forms and from various places around the company: • Facilities (Office Space) • Computer / Laptop • Desk Phone • Windows Network Access • Email Access • File Shares • VPN Access

20. Suzy the “New Hire”Vice President of Some Organization The Mission: Quick, easy, one-stop-shop for all employees. Easy to use as Amazon.com. • Import of people data and asset management. • Pre-defined “bundles” of services. • Standard (and now automated) fulfillment. • Role based permissions to order services, based on business and function. • Clearly defined products and services that are measureable and repeatable and “make sense” to the end user!

21. Here’s the “how” … Service Descriptions • Pre-populated Data • Logical Groupings of Types of People • Access Controls • Automation of Approvals • Audit trails • Automation of Repeatable Processes • Sets Expectations • Targeted “Marketing” • Flexibility Service Pricing The Service Catalog: Service SLAs LDAP/ People Management Asset Management

22. Suzy Needs an Upgrade! Suzy had to HUNT down the form online, hope that the devices on the document were still accurate, and fill it out… • And Finally … HOPEfor the following: • The fax went through • The order was placed • The device would arrive within 7 days Then … get signatures from her manager and her manager’s manager before she could fax the form.

23. Suzy’s Phone Upgrade Experience Which phone should I choose? What phone am I eligible to order? Is there coverage in my area? Who needs to approve this order? What does the new phone look like? Is it a flip phone? When will I get my phone? How do I keep the same phone number? What’s THAT box asking me to enter??

24. Suzy’s Phone Upgrade Experience • Now the orders go directly through the catalog. The catalog pulls information from various places: • Who is Suzy? • What device does Suzy have and what is she eligible to order? • Everything else too! • Orders are transferred immediately to the vendor for processing. • Orders are completed within 48 hours (typically). • Cut excessive spending. • Automates the gathering of required approvals, customized by the business, device and role of the customer. • Provides customers with the information to make educated decisions.

25. Key Success Factors • Strong executive sponsorship • Listen to your customers • Communicate, communicate,communicate • Change Leadership is important • Process first • Use technology

26. Thank You! Q & A