Abstract

This report covers the basic knowledge of the IT Infrastructure Library

(ITIL) and the European Foundation Quality Model (EFQM) and provides
an overview with potential issues of the future. It is not intended to be an
instruction of how to implement these quality management frameworks in
a company, rather than a brief but detailed description of what ITIL and
what EFQM is. Furthermore there are some case studies used as example
for the course of events taking place by the implementation of these
frameworks.

1. Introduction
This report has two major subjects: ITIL and EFQM.
The first topic ITIL is an IT-Service Management Framework that was
developed by a UK Government Agency which is called today the OGC
(Office of Government Commerce). It is kind of a best practice approach
for improving the quality of IT-Services. The focus will be on the ITIL
Version 3.0 that was published in 2007. The third publication contains 5
books that are arranged around the Service Lifecycle, which is a vital
component of ITIL, and each of those books covers its own area of
expertise (itil.org, 2011).
The second topic EFQM is a Quality Management Framework that was
developed in 1988, in order to improve general business processes and
services. It also affects the culture of the company.
The IT Infrastructure Library and the European Foundation Quality Model
are both Quality Management Frameworks although with different focus.

2. Current explanation and issues relating to your first topic

ITIL is an IT-Service Management Framework, it is no standard or
specification it is only guidance for establishing IT-Service processes.
Hence companies can’t get a certificate for doing ITIL. But there are
several level of certification for people available (itilv3.net, 2011).
 Certification path of ITIL Version 3 “Source: itilv3.net, 2011”
Buchsein, R et al. (2007, p.4) proposed that the focus of ITIL is to
establish a comprehensive and continual process of improvement. It
provides a framework in which to place existing methods and activities in
a structured context (Marquis, 2006). Therefore it enables a service
provider to provide overall strategic objectives for the IT-Organisation,
which will be used to direct how services will be designed, transitioned,
supported and improved in order to deliver maximum value to the
customer (Menken, 2010). But the implementing process and ITIL itself
will differ from organisation to organisation, because there is no universal
configuration that will suit all companies (Marquis, 2006). Hence the use
and the implementation of ITIL need a comprehensive amount of expert
knowledge. The core of the ITIL is the Service-Lifecycle. Version 3 of ITIL
maintains a holistic view covering the entire lifecycle of a service (Menken,
2010). Quoting Menken one of the difference of ITIL Version 3 to ITIL
Version 2 is that “no longer does ITIL just answers the how question, but
also the why.” So ITIL makes the processes involved in the
implementation more reasonable.

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 Service Lifecycle “Source: Buchsein, R. et al., 2007, p. 17”

Quoting from the ITIL: “For each of the processes described in this book,
one or more roles are identified for caring out the functions and activities
required. It should be noted that organisations may allocate more than
one role to an individual within the organisation (although this book
indicates were specific roles should not be merged), or may allocate more
than one individual to a role. The purpose of the role is to locate
responsibility rather than to create an organisational structure. ” Hence
ITIL reorganize work and processes and not staff. The ITIL Process
approach means that processes have to be managed over more than one
department within traditional hierarchical company structures (Marquis,
2006).
2.1 Advantages and disadvantages
The ‘best practise approach’ of ITIL is one of its biggest advantages,
because they use methods and processes that have proven themselves. In
addition ITIL can be used within an organisation with existing methods
and activities in Service Management (Marquis, 2006). Like the most
ITSM, ITIL provides value to customer in form of services via a set of
specialized organizational capabilities (Menken, 2010). Menken (2010, p.
10-11) identified further benefits from using ITSM like ITIL:
- Improved quality service provision
- Cost justifiable service quality
- Services that meet business, Customer and User demands
- Integrated centralized processes
- Everyone knows their role and knows their responsibilities in service
provision
- Learning from previous experience
- Demonstrable performance

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 - Improved efficiency of business and IT staff through quality
information and knowledge being made available
- Improvement in the actual availability of services and systems
available to users
- Improved visibility of the state of critical components within the IT
infrastructure
The improved visibility points out that the transparency of actions,
processes and their actual state is raised. Hence it improves the ability to
manage those processes, this leads to a higher efficiency of the It-Service
itself.

One disadvantage of ITIL is that there are only certifications for people
available. Hence a company can’t get a certification for doing ITIL.
Furthermore Marquis (2006, p. 51) mentioned that ITIL will not intend to
reduce cost of IT. ITIL shows if the IT is inefficient and wastes money or
the IT is underfunded and requires more money. Quoting Marquis (2006,
p. 51) “ITIL is about delivering value to customers, and sometimes this
means spending more on TI than is currently spent”.

2.2 Relevant case history

The case studies give some information of the duration and the processes
and changes involved in the implementation of ITIL. The ALTANA Pharma
AG is an example, given by Buchsein et al. (2010, p. 307 - 312), of
implementing ITIL in a highly regulated environment, due to the legal
constrains for pharmaceutical companies. They did many structural
changes with the IT-Organisation. Part of these changes where the
establishment of a couple departments with specific tasks like:
- Global CIO Office
- Project Management
- Business Process Management
- Architecture
- Account Management
- IT Service and Vendor Management
They also established a board for the Incident- , Problem- and Change-
Meeting (IPC-Meeting). This board is intended to improve the organisation
of the IPC-handling and to communicate the status quo to the team leader
and departments.
The actual implementation of the ITIL was done with the SMILE project
(Service Management ImpLEmentation). SMILE was concerned with the
optimisation of IT Service and Vendor Management in order to align the
IT-Processes with the ITIL. Furthermore it was intended to optimise and
stabilise the existing processes and also to improve the transparency of
these processes. The Focus was on the IT Service Support Processes.
Menken (2010, p. 59 -60) showed with the Telecom Company that it took
approximately two years to implement ITIL. The case history of the
German Air Traffic Control underlines that some time is needed to

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implement the ITIL. They also give some more detailed figures for the
time needed for each period:
- Incident Management 6-18 months
- Configuration Management 3-9 months
- Problem Management 5-8 months
- Change Management 3-4 months
- Release Management 2-3 months
- Availability Management 4-8 months
- Financial Management 6-12 months
- Service Level Management 6-9 months
The company states also “The ITIL standard is best practice method for
reorganization into a customer-oriented service provider. It recommends
realizing the ITIL processes via organization project.”

2.3 Reflection on issues of social responsible computing

ITIL affects the culture of the company and changes social behaviour of
staff by creating roles. These roles create responsibility for those persons
who inherit a role. It is more to put pressure on this person in form of
doing his job as good as he can, rather than to be able to blame him
afterwards. But this clear structure creates more transparency of who is
responsible, what might be before inexplicit.
Also it is necessary to work and communicate department overlapping to
be customer orientated.

2.4 Potential issues in the future (five years ahead) related to your
first topic
Because IT-Services are affected by E-Business, which has dynamic and
unpredictable, rapidly changing characteristics (Amit and Zott, 2001),
there will be many changes and new trends to which ITIL has to adapt,
update or introduce new methods and processes.
Also the development of ITIL to a standard or specification, that allows
companies to be certificated for doing ITIL. This may improve the
reputation of the company and therefore the company might get
additional customers.
Due to the growing interest of environmental protection, Green-IT might
also be an issue for ITIL.

3. Current explanation and issues relating to your second topic.

The EFQM is a Total Quality Management Framework (Dubas and
Nijhawan, 2005) with dynamic characteristics (Martín-Castilla and
Rodrígues-Ruiz, 2008). Dubas and Nijhawan (2005, p. 9) mention that the
EFQM suggests that the Quality Control should not be at the end of a
process, rather than right from the start. Hence the Quality Control has to
start with the arrival of the raw material and continue till the finished
good.

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The EFQM system is build of 9 main criterions, five of them are enabler
and four are Results. The Enablers covers what a company does and the
results covers what a company achieves (Dubas and Nijhawan, 2005).
Bou-Llusar et al. (2005, p. 341) pointed out that the enabler and results
are strongly associated with each other. The Results are caused by the
Enablers and the feedback from the Results helps to improve the Enablers
(Dubas and Nijhawan, 2005).

EFQM-Model “Source: Lativa excellence, 2011”

For a description of the 9 main criterions see appendix “E.2”. The 9
criterions of the EFQM-Model have a set of 32 sub-criterions in total, which
form the basis for the assessment and validation tool (Dubas and
Nijhawan, 2005). These sub-criterions include different areas of
improvement (Martín-Castilla and Rodrígues-Ruiz, 2008).
There are 8 Fundamental Concepts of Excellence which are essential for
achieving Sustainable Excellence for any organisation (efqm.org, 2011):
- Achieving Balanced Results
- Adding Value for Customers
- Leading with Vision Inspiration and Integrity
- Managing by Processes
- Succeeding through People
- Nurturing Creativity and Innovation
- Building Partnerships
- Taking Responsibility for a Sustainable Future
For further information about these 8 concepts see appendix “E.3”.
Another elementary asset of the EFQM-Model is the RADAR Logic, it is a
dynamic assessment framework and powerful management tool that
provides a structured approach to questioning the performance of an
organisation. RADAR Logic has 4 steps (efqm.org, 2011):
- Define the Results the company is aiming to achieve as part of the
strategy
- Plan and Develop an integrated set of sound Approaches to deliver
the required results both now and in the future

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 - Deploy the approaches in a systematic way to ensure
implementation
- Assess and Refine the deployed approaches based on monitoring
and analysis of the results achieved and ongoing learning activities.

RADAR-Logic “Source: efqm.org, 2011”

Martín-Castilla and Rodrígues-Ruiz (2008) created a theory in their report,
that EFQM is not only a Quality Management System rather it is combining
the knowledge philosophy and quality principles to achieve competitive
advantage. The EFQM-Model creates an environment of continuous
measuring, learning and improvement in organisations.

3.1 Advantages and disadvantages

The advantages of EFQM are that it is a dynamic and flexible model.
Hence it can be adapted to any company or change in business. Also
EFQM might help to get other certification like ISO 9000. Furthermore it
affects the philosophy and culture of an organisation, due it is intend to
create a customer orientated culture that is continuously trying to
improve. This on the other hand might be a disadvantage or at least
makes the implementation more difficult, because it is a difficult task to
change the attitude of people. Hence the implementation of EFQM is no
quick solution. The fact that companies can’t get a certification is also a
disadvantage.

3.2 Relevant case histories

The case study is a self assessment done by Juan José Tarí (An EFQM
model self-assessment exercise at a Spanish university) in 2005. This self-
assessment was concerned with five services provided by the University of
Alicante and was carried out in three stages. The First was an internal
assessment or self-assessment where the situation of each service was
analysed, followed by an external assessment and improvement scheme
which provides suggestions and recommendations and at last a second

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external series of external assessments. The implementation was carried
out in 8 steps:
- Developing management commitment
- Communicating plans
- Planning self-assessment
- Establishing teams and training
- Conducting self-assessment
- Establishing an action plan
- Implementing action plans
- Review
“Regarding staff commitment, one way to motivate public service staff to
take part in this process is by awarding a certificate, which can later be
used for promotion; in this case, it was given to those who took part in
the teams and received training. Thus, if there is some kind of extrinsic
motivation and management commitment, employees are more easily
persuaded.” (Tarí, 2005, p. 184). The case history can’t provide statistical
generalizations, due to the research methodology.

3.3 Reflection on issues of social responsible computing

EFQM affects the culture of an organisation. It creates a customer
orientated environment where the staffs are encouraged to take
responsibilities. Martín-Castilla and Rodrígues-Ruiz (2008, p. 137) pointed
out, that ethical principals should inspire the organisational behaviour.
EFQM develops a culture of excellence, where the personal development is
vital, because people are the most valuable assets to an organisation.

3.4 Potential issues in the future (five years ahead) related to the
topic, related to your second topic
Due to Martín-Castilla and Rodríguez-Ruiz there is already a kind of a
knowledge management philosophy in the EFQM. This could be extended
to methods and procedures to implement a Knowledge Management
System in an organisation.
The creation of a certification for companies that are using EFQM might
add value to these organisations, due to increasing reputation of this
organisation.
Environmental protection becomes more and more important for
companies. So EFQM could provide methods and processes to help
companies to become green.

4. Reflection on the relevance of the content of the assignment

and Unit
Due to the Unit Description some Areas of Study are strategies of
managing within an organisation, management approach and quality
standards and practices. ITIL and EFQM are concerned with managing and
assuring the quality of processes, therefore it matches the description.
Further Responsible Computing, which includes best practice and staff

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awareness, are also part of ITIL. The Learning Outcomes of this unit are
all covered by the assignment except the approach necessary to
implement a solution. The part with investigating the approach was
achieved but the utilisation wasn’t achievable due to the fact that it would
go beyond the scope of the assignment. But nevertheless it provides the
basic knowledge of these both management systems (For further
information about the Unit Description see Appendix “E.4”).

5. Conclusion
ITIL and EFQM have some things in common. Both are concerned with
managing quality through a continual learning and improvement
philosophy, both are therefore long-term solutions and need time to be
implemented. They both affecting the philosophy and culture of an
organisation due to their customer orientated approach and intention to
create value for the customer.
The knowledge management philosophy for EFQM (Martín-Castilla and
Rodrígues-Ruiz, 2008) could be also adapted for the ITIL due to the
similar approach of the improvement process.
But there are also some differences like EFQM is concerned with the
quality of general business processes (TQM) and ITIL is concerned with
IT-Services (ITSM).
Both management systems have their advantages and disadvantages and
organisation should be aware of those before they plan to implement
those in their company. So if a company intends to reduce cost, ITIL
might not be the best choice (Marquis, 2006). Also a lot of experience is
required to implement these, so contacting a consultant might save a lot
of money and time.

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7. References

Amit, R. and C. Zott, 2001. Value Creation In E-Business. Strategic

Management Journal, 22, 493-520.

Bou-Llusar et al., 2005. To what extent do enablers explain results in the

EFQM excellence model? The International Journal of Quality and
Reliability Management. 22(4/5), 337-353.

Buchsein, R et al., 2007. IT-Management mit ITIL V3.

Dubas K.M. and I.P. Nijhawan, 2005. A Test of The EFQM Excellence Model
of TQM. Proceedings of the Academy of Marketing Studies, 10(2), 9-12.

EFQM, 2011. The EFQM Excellence Model [online] [viewed Dez 2010].
Available from: http://www.efqm.org/en/tabid/132/default.aspx

Gartner, 2011. IS Lite [online] [viewed Feb 2011].

Available from: http://www.gartner.com/6_help/glossary/GlossaryI.jsp

Glenfis AG, 2011. ITIL [online] [viewed Dez 2010].

Available from: http://www.itil.org/en/vomkennen/itil/index.php

ITIL Portal, 2011.ITIL V3 Introduction [online] [viewed Dez 2010].

Available from: http://www.itilv3.net/index.html

Latvia excellence, 2011. EFQM Model [online] [viewed Feb 2011].

Available from: http://www.latviaexcellence.lv/web/en/page/73

Martín-Castilla J.I. and Ó. Rodríguez-Ruiz, 2008. EFQM model: knowledge

governance and competitive advantage. Journal of Intellectual Capital
9(1), 133-156.

Marquis, H., 2006. ITIL: What It Is And What It Isn’t. Business

Vommunication Review, 36(12), 49-53

Menken, I., 2010. The Art of Stress-free IT Service Management.

Tarí, J.J., 2005. An EFQM model self-assessment exercise at a Spanish

university. Journal of Educational Administration 44(2), 170-188.

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8. Bibliography

Anthes, G., 2008. How To Get More Out Of ITIL With Version 3.
Computerworld, 42(30), 29-31.

ANON., 2008. ITIL certifications and more. Network World, 25(6), 8.

Boardman, B., 2005. In Management, It’s the ITIL Thing That Matter.
Network Computing, 26(10), 38-41.

CIO, 2011. Lite at the End of the Tunnel [online] [viewed Feb 2011].
Available from: http://www.cio.com.au/article/169952/lite_end_tunnel/

Cox, J., 2004. Implementing ITIL. Network World, 21(40), 60.

Dorfman, P., 2008. ITIL 3: executive calidation for KM. KM World, 17(2),
1-3.

Dubie, D., 2004. ITIL best practices gain growing interest: survey.
Network World, 21(46), 19.

Eskildsen et al., 2002. Trends in EFQM criterion weights. Measuring

Business Excellence 6(2), 22.

Hall, M.,2010. A solution for IT. Industrial Engineer, 42(5), 47-53.

Hides et al., 2004. Implementation of EFQM excellence model self-

assessment in the UK higher education sector. The TQM Magazine, 16(3),
194-201.

Irvine, B. and J. Probst, 2007. ITIL® - a factor for all purchases. Summit
10(6), 8-9.

Klosterboer, L., 2008. Implementing ITIL Configuration Management.

Murray, A. and M.S. Mohamed, 2007. The role of ITIL in building the
enterprise of the future. KM World, 16(1), 22-23.

Nabitz et al., 1999. EFQM’s new excellence model. Quality Progress,

32(10), 118.

OGC, 2011. Best Management Practice [online] [viewed Jan 2011].

Available from: http://www.best-management-
practice.com/servicesupport_demo/content.aspx?
page=ss_5&showNav=true&expandNav=false

Pela, P., 2006. ITIL helps keep network fit. Communications News, 43(2),
32-33.

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Robinson, N., 2005. IT excellence starts with governance. Journal of
Investment Compliance, 6(5), 45-49.

Russell, S., 2000. ISO 9000:2000 and the EFQM Excellence Model:
competition or co-operation? Total Quality Management, 11, 657-665.

Sevcik, P., 2007. Applying ITIL To Application Performance Management.

Business Communications Review, 37(11), 10-12.

Straker, D., 2001. Excellent: A Guid for the Implementation of the EFQM
Excellence Model. Quality Progress, 34(8), 110.

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Appendices
A Criteria for review of Sources
Sources directly concerned with both topics had to be as recent as
possible, especially ITIL due to the release of version 3 in 2007. The
Decisions for the review “ITIL: What It Is And What It Isn’t” of Hank
Marquis, which was published 2006, was that he wrote in a very general
theme over ITIL. He described some misbelieves and what ITIL really
does. Also he is an ITIL expert which uses ITIL practically like the author
of “The Art of Stress-free IT Service Management” Ivanka Menken. She
had 13 years experience in IT Service Management consultancy as she
published her book “The Art of Stress-free IT Service Management”.
Further only sources with conformable reliability were used. That means
scientific reports or articles, reports and books which were written by
people with a comprehensive amount of experience in using ITIL and
EFQM.

A1 Review of 3 major cited sources, related to your first topic

ITIL: What It Is And What It Isn’t:
Hank Marquis describes in general what is to expect from using ITIL. He
also describes some false assumptions over ITIL and why they are
incorrect. For example ITIL doesn’t necessarily save money, most time it
cost more money. These are reasons why ITIL might fail.
IT-Management mit ITIL V3:
This book has 4 authors Ralf Buchsein, Frank Victor, Holger Günther and
Volker Machmeier. Their book is kind of a practise guide for doing ITIL and
a explanation of the fundamentals of ITIL, like the Service Lifecycle. They
describe the necessary phases for implementing ITIL, important key
figures and the corresponding relation. Some case studies were also
provided to demonstrate the implementation of ITIL.
The Art of Stress-free IT Service Management:
Ivanka Menken started her book with a description of ITSM and the
benefits of ITSM. Like “IT-Management mit ITIL V3” she describes the
basic knowledge of ITIL. She also explained the actual implementation, for
example where to start, how to improve and how to know if you are
making progress. At the end she presents a few very brief case studies
which mention the duration of implanting ITIL and a statement of the
corresponding company.

A2 Review of 3 major cited sources, related to your second topic

EFQM model: knowledge governance and competitive advantage:
Juan Ignacio Martín-Castilla and Óscar Rodríguez-Ruiz considered in their
report, that the EFQM-Model includes also a knowledge management
approach. Quoting their work: “According to Zhao and Bryar (2001),
approaches combining the knowledge management philosophy and quality
principles are essential to achieve competitive advantage. Intellectual
capital theory and quality approaches may offer a virtuous circle for
continuous improvement and organisational development.” Further they

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describe commonalities between a Total Quality Management approach
and a Knowledge Management approach to support their thesis.
A TEST OF THE EFQM EXCELLENCE MODEL OF TQM:
Khalid M. Dubas and Inder P.Nijhawan give a description of the EFQM-
Model with its 9 main criterions and its 32 sub criterions. They further
explain the relation of enablers and results. Quoting Dubas and Nijhawan
(2005, p. 9): “The 'Enabler' criteria cover what an organization does. The
'Results' criteria cover what an organization achieves. 'Results' are caused
by 'Enablers' and feedbacks from 'Results' help to improve 'Enablers'.”
To what extent do enablers explain results in the EFQM excellence model?
The authors of this empirical study highlight the importance of the
relationship within and between enablers and results. They describe in
detail what enablers and results are and try to analyse the relationship
among those. The results of their study are for example: that they found
strong association between people and people results and emphasis on
leadership and customers, through the assurance of good training for
employees and people.

B Presentation material with appropriate text

B1 Presentation screens with presenter’s notes. Learning activity
with discussion of solution for your first topic

Short Introduction, with name topic and the three points to discuss.

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- ITIL is kind of best practise
- OGC was CCTA (Central Computing and Telecommunications
Agency)
- ITIL was developed in the 80th
- Version 3 has 5 publications/ books

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- Creates value for the customer by improving the IT-Services
- It doesn’t matter if it is a internal or external customer

- The 5 books are arranged around the Service Lifecycle

- Each book has its own area of expertise
- Order
o Service Strategy – define a strategy
o Service Design – define approaches
o Service Transition – systematic use of the approaches
o Service Operation – Day to day use of the approaches
o Continual Service Improvement – identifies possible
improvements of the former stages

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1. Hank Marquis wrote (2006, p. 49) “ITIL describes the most accepted
guidance for enterprise operations. It is not a standard or a
specification”.
2. See Buchsein et al. at p. 17.
3. There are only certification for people available (itil.officialsite.com,
2011)
4. There are 3 different level of certification: Managing Across the
Lifecycle, ITIL Expert and ITIL Master

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 B2 Presentation screens with presenter’s notes. Learning
activity with discussion of solution for your second topic

Brief Introduction with name, topic and the 4 points

- 400 member companies and organisation in over 40 countries all

over the world

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- elemental concepts of excellence
- company has to know, accept and fulfil them in order to get the
maximum benefits
- People might be key, people are the most valuable assets of a
company (they keep the knowledge)

- Key Logic of EFQM

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- Order
o Results – define the goal, which to achieve
o Approach – planning comprehensive amount of approaches
o Deploy – systematic use of approaches
o Asses and Refine – evaluate the achieved results in order to
identify possible improvements

- 3 central columns: People, Processes and Results

- 9 criterions / connected among each other
- People influence on people results
- Results are the product of the past
- Results + former processes enable to forecast and plan for future
- Its about measuring, monitoring and controlling to develop
improvement

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22
C Reflection
C1 Reflection of on the participation and effective by the other
students on the activities presented by yourself
Results of the learning activities
ITIL EFQM
Correct Wrong Correct Wrong

1 17 2 11 0
2 15 4 9 2
3 15 4 3 8
4 15 4 Need for additional evaluation
62 14 23 10
81.6% 18.4% 69.7% 30.3%

Result of learning activity 3 of EFQM

No answer 1 9.1%
Only 1 0 0%
2 answers 3 27.3%
3 answers 7 63.6%

Given Concept and the number of people given this as a answer

Customer orientated 6
People 5
Result orientated 5
Consequent leadership 4
Building partnerships 3
Managing by processes 3
Taking responsibilities 1

Conclusion
The results of the questions shows, that about 80% of the answers for
each question were right answers except one question. Question 3 of
EFQM has an unlikely high error rate. There are some reasons why there
are so many incorrect answers:
- The methodology of the question itself might be not the best choice.
Question 3 of EFQM is similar to question 2 of ITIL. Regarding the
rate of right answers of the Service Lifecycle, it shows that the result
was clearly better (ITIL 21% wrong to EFQM 72.7%). In the service
lifecycle question the result has to be filled in a picture, rather given
some letters in the right order. So it is likely that a picture of the
RADAR-Logic might have produced another result, because pictures
are easier to remember than words and letters.
- Also might it be confusing to sort letters in the right order. Maybe
Numbers would have been easier.
The result of 80% correct answers is a good result for a presentation.

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C2 Reflection of on the participation and effective by yourself on
the activities presented by the other students
My participation and effective on the learning activities varies. It depends
on the presentation as well as the learning activity.
Some presentation were done very well, with a clear structure, pictures
and clear speaking, which helps to obtain some knowledge about the
topic.
Some other weren’t that good, due to presentation screens with too much
information (words) on them, no clear structure and some time speaker
that are hard to understand.
Some learning activities were nicely designed and some weren’t.
A few learning activities had even mistakes in them and the solution
weren’t right. The methodologies were some times also inappropriate, like
crosswords where the solutions are diagonal. Anyway crosswords might
not be a good solution for a learning activity, because it is more about
finding words than knowing.

D Major Cited Sources (Excerpts from the 6 sources reviewed in A1

and A2)
D.A1 - ITIL
ITIL: What Is It And What It Isn’t? (Marquis, 2006)
“The Truth About ITIL
Paramount to success with ITIL is realizing that you cannot conform to,
comply with, adopt or implement ITIL—because it is not a specification.
The ITIL simply provides guidance for establishing processes.
To find out all about ITIL, you can purchase and read the books; it is,
after all, the “IT Infrastructure Library.” The statements in Table 1 are
taken directly from the ITIL itself.
Consider those statements, then ask yourself:
- If ITIL doesn’t cast every action in stone, how can one comply with
it?
- If ITIL relies on existing methods and activities, then what is it?
- How can vendors certify your compliance with something to which
you cannot comply? If you cannot comply with ITIL, how can
vendors claim their products are ITIL-compliant or ITL-conformant?
- If there is no universal configuration, how can you purchase “ready-
to-use” ITIL?
- If ITIL does not describe organisational structure and ITIL is
different from organization to organization, how does one organize
for ITIL?
Rather than give you my opinion, I will simply quote form the ITIL itself:
“ITIL provides a proven method for planning common processes, roles and
activities with appropriate reference to each other and how the
communication lines should exist between them.””

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The Art of Stress-free IT Service Management (Menken, 2010)
“How does the Service Lifecycle work?
Although there are 5 phases throughout the Lifecycle, they are not
separate, nor are the phases necessarily carried out in a particular order.
The whole ethos of the Service Lifecycle approach is that each phase will
affect the other, creating a continuous cycle. For this to work successfully,
the Continuous Service Improvement (CSI) phase is incorporated
throughout all of the other phases. Figure 3.4 demonstrates some the key
outputs from each of the Service Lifecycle Phases.

It is important to note that most of the processes defined do not get

executed within only one lifecycle phase. As an example we will look at
the process of Availability Management and where some activities will
get executed throughout Service Lifecycle.

Service Design Phase: Designs the infrastructure, processes and

support mechanisms needed to meet the Availability requirements of the
customer.

Service Transition Phase: Validates that the Service meets the

functional and technical fitness criteria to justify release to the customer.

Service Operation Phase: Monitors the ongoing Availability being

provided. During this phase we also manage and resolve incidents that
affect Service Availability.”

25
IT-Management mit ITIL V3 (Buchsein et al., 2007)

(Translated from german)

“Case Study: ALTANA Pharma AG

ALTANA Pharma AG as an example for IT Service

Management in a regulated environment

Company portrait
ALTANA Pharma AG is an organisation of the Nycomed group. Nycomed is
an international pharmaceutical corporation that offers medicinal products
for hospitals, general practitioner and medical specialists. In addition they
supply patients in chosen markets with OTC-Medications.

Nycomed is working in several areas of rehabilitation like cardiology,

osteoporosis, gastroenterology, respiratory diseases and pain therapy.
New products are developed by their own research as well as by the
cooperation with external partners. Nycomed is engaged in over 50
countries world wide, including whole Europe, growing markets of Latin
America, Russia and the Asia-Pacific region.

The sales volume in 2006 was 3.4 Billion € with an EBITDA of 933,4
Million €.

Starting position
In 2004 the IT Department of the ALTANA Pharma AG set themselves the
aim to change from an IT Service Provider to an innovative Business
Enabler. To support this objective and to align the services and solution
with the changing business requirements and the global IT-Strategy of the
company, the business operation of the IT were aligned with an IS Lite of
Gartner (see appendix … ).
Gartner has identified in 1999 four trends leading to significant changes in
IT.
- Trend 1: Process orientated working
- Trend 2: Outsourcing
- Trend 3: Specialisation of area of expertise
- Trend 4: Involving the application development in business
The result of these trends, IS Lite, offers a flexible and expandable
solution to manage the different business requirements.

In case of ALTANA Pharma structural changes of the IT-Department where

necessary. The Global CIO Office and departments like Project
Management, Business Process Management, Architecture, Account
Management and IT Service & Vendor Management were established.

26
IT Service Management in a regulated environment
Professional IT-Business Operations are assured by clear defined IT
Service-Processes. A professional Vendor Management is required for a
successful acquisition of internal and external IT Services.
The objective targets of the IT Service Management of ALTANA Pharma,
- Implementation consistent, standardized IT Service processes, to
ensure, monitor and manage the Quality and Quantity of IT Services
for the Custmer.
- Alignment of the IT Services on the requirements of the customer in
the areas of expertise and the places of location,
are explicitly focused on the customer and his satisfaction for the
delivered services. The customers’ requests of an IT Service are
commonly described by Compliance-Guidelines.

In the strongly regulated area of pharmaceutical industry are national and

international specifications, the ALTANA Phrama has to achieve. The Good
x Practices (GxP) (x stands for laboratory, clinical or manufacturing) which
was developed in 1978 by the american health authority FDA (Food and
Drug Administration) to ensure the safety and product quality of
medications. Also since 2002 the IT of ALTANA Pharma has to satisfy the
high requirements of the Sarbanes-Oxley Act (SOX) with its Section 404.
These have to be fulfilled by company quoted on the stock exchange.

In this case methods and practises called “Best Practices” like

- Good Automated Manufacturing Practice (GAMP)
- Control objectives for information and related technology (CobiT)
- IT Infrastructure Library (ITIL)
have been proven as useful to support the IT to fulfil all the regulations.
These three have different focus but they have many similar basis
activities.

In order to optimise the IT Service & Vendor Management of ALTANA

Pharma the SMILE(Service Management ImpLEmentation) project was
initiated in 2004. The major focus was the alignment of It-Processes on
ITIL. Therefore the optimisation and stabilisation are established
processes, also to create more transparency and a foundation for
measuring operation figures.

The project initial focus is on IT Service Support Processes and pursues

the following objectives:
- Develop a specific concept for the IT service Management on basis
of ITIL
- Implementation of an Account Management for internal IT
customers

27
 - Development of a Service Level Management-Processes, especial
the introduction of an achievement and service catalogue
- Reengineering of Incident- and Problem Management-Processes and
content separation of the processes
- Fine-tuning of Change Management-Processes as well as the
development of a structure of configuration database
- Definition of a Release Management-Processes
The introduction of ITIL processes were supported by all IT-personal and
further important contact persons. These Contact persons were trained in
ITIL by Kess DV-Beratung GmbH and passed with the Foundation
Certifacte of IT Service Management. Beside the knowledge of ITIL-
processes was a unitary linguistic usage promoted.

Interdivisional cooperation workshops were arranged to achieve a higher

acceptance. The results were documented in form of the Standard
Operation Procedures (SOPs). These SOPs were used as training material.

The logic consequence of this preparation was the support for the IT
Service Management-Processes with an integrated System, also to enable
measurements of the process performances. This wasn’t achievable by the
paper based approach, accept the Incident Management.

In following the project eSmile was initiated.

eSmile: Implementation of an integrated system support

The objective of the project eSmile could be summarized in the following
points:
- Integration of all regarded IT Service Management-Processes
- Continual flow of information and transparency
- Establish a Configuration Management Database (CMDB) as a
central Database for all Configuration Items (CIs)
- Electronically authorisation of change request with a Self Service-
Portal
- Preparation for Roll-out to all branch offices worldwide
- eSmile as integration platform for all external and internal service
provider
Especial the last point has several advantages due to the fact that eSmile
could be used from nearly every service provider. In case of new
announcements of service-contracts these system-standard were included
in the offering. Hence the responsibility for the Process-Management lies
within the company. And the shared database provides the responsible
person of this process with all the information and key figures. The
validation of a computer based system is the documentation, that the
system satisfies the GxP-Requirements.

In April 2006 after the validation clearance the system was realised in two
phases. In the first phase the Process Problem, Change and Configuration
28
Management was used. It was hoped to get a Quick-Win by replacing the
paper based Change Management with a web based Self Service, that
allows electronically subscriptions worldwide. This assumption has been
proven right, because even with twice of incoming RfCs the handling in
the Change Management is still manageable.
In the second phase the Incident Management and the Service Level
Management was activated. After an acclimatization phase the necessary
data was created to build up a significant Management Reporting in order
to assess the supporting processes by operating figures.

Approach for Operation Figures and KPIs

Since the introduction of the IT Service Management-Processes in the IT
of ALTANA Pharma several boards were established. These boards need
operation figures to manage. Part of this is the Incident-, Problem- and
Change-Meeting (IPC-Meeting), which discusses the processes with the
intern Support-Unit. It is intended to improve the organisation of the IPC-
Processing.
The Change Advisory Board (CAB) as like the business meeting has a port
to external provider. Especial in this case operating figures are important,
to assess implemented acknowledgment and to identify problems and
work on solutions.
The operating figures are provided weekly, every 14 days or monthly due
to the requirements.

Incident Management
The reports written by the Incident Management are concerned with the
external Service Providers on the agreed Service Level. The Focus is on
the Service Desk. Besides the numeral operating figures are the following
reported:
- Accessibility
- Longest Wait Call
- Time of Waiting
- Rate of Direct Solutions
- Rate of Solution
- Rate of Forwarding
- Reset/ Activation of Passwords
- Account Administration
Accessibility, Time of Waiting and Longest Wait Call are calculated by
analysing the telephone system, the other figures are based on the IT
Service Management System eSmile. The monthly reports are created via
a direct connection to a database.

Change Management
The boards needed continuously information about the Change
Management-Process. The operating figures were created by the “Bottom-

29
up” method, that means where correction or improvement are needed
most. These are figures concerning the amount like
- Amount of RfCs per week / month / year / working group / prioritising /
service

Picture: Amount of RfCs per month (Demo-Data)

In order to display the use of capacity of a support unit, but also operating
figures to describe the quality of processes like
- Status of all RfCs (Picture) per working group / prioritising / service
- Time for completing the phases (initiating, assessment, clearance,
test, implementation, acquisition)
- Amount RfCs without scheduling time / without CIs / with routing
several times
- Amount of overdue RfCs that are not implemented
- Amount of RfCs concerning with problems and incidents

Picture: Status of all RfCs (Demo-Data)

The display for the quality of the adduced work of a change is enabled by
- Analysis of Post Implementation Review (PIR)
which surveys the technical solution and monitors the satisfaction of the
customers.

30
On topic in the ITIL-literature is auditing. Similar systems and procedures
are also audited in a GxP- and SOX-Environment. The operating figures
here are important.
- Amount and reduction of findings per category (Critical, major,
minor)

Forecast
During the development of the IT Service Management-Processes of
ALTANA Pharma, was for every process a process aim developed. By the
Change Management-Process was ensured that all the changes on the IT-
System were
- necessary, reasonable and tested,
- were documented,
- obedience to used interfaces are analysed,
- are carried our on basis of a comprehensible resource planning,
- have a transparent description of cost and usability.

The validation requirements of the change control are done by the

establishment of the Change Management-Processes.

The next step is, to take the process aims as approach for getting the
needed operating figures and KPIs for the “Top-down”. For this
information like Forward Schedule of Changes (FSC) need a bigger focus,
because it is a important tool to get more safety in the planning process.

D.A2 – EFQM

A TEST OF THE EFQM EXCELLENCE MODEL OF TQM

(Dubas and Nijhawan, 2005)

INTRODURCTION
“TQM implies that quality should not be left to a quality controller who
inspects for quality at the end of a production line but it should be a part
of the whole organization from the arrival of raw materials to the
departure of finished goods from the organization. The European
Foundation Quality Model (EFQM) Excellence Model is a non-prescriptive
framework based on nine criteria. Five of these are 'Enablers' and four are
'Results'. The 'Enabler' criteria cover what an organization does. The
'Results' criteria cover what an organization achieves. 'Results' are caused
by 'Enablers' and feedbacks from 'Results' help to improve 'Enablers'.
The EFQM is used by thousands of organizations throughout Europe and is
the acknowledged most robust quality and excellence model in existence
today. It contains a set of nine weighted criteria that are utilized in the
assessment process. Each criterion has a set of sub-criteria, 32 in total,
that form the basis for the assessment and validation tool.
The Model is based on the premise that: Excellent results with respect to
Performance, Customers, People and Society are achieved through

31
Leadership driving Policy and Strategy, that is delivered through People
Partnerships and Resources, and Processes. The EFQM Excellence Model is
depicted below in Figure 1.“

EFQM model: knowledge governance and competitive advantage

(Martín-Castilla and Rodríguez-Ruiz, 2008)

Introduction
“… According to Wensley and Verwijk-O’Sullivan (2000), a culture that
supports new ideas and exploration is essential for the development of
knowledge. Knowledge development is the basis for learning, innovation
and improvement in decision-making. Thus, knowledge can be considered
the core aspect of organisational performance. Moreover, it maximizes the
creation of value for stakeholders.
The connection between knowledge management and the quality
approach is not a new issue. Both have a Japanese origin. In fact, quality
circles were part of broader knowledge programs. More specifically, in
1997 the EFQM, in partnership with the American Productivity and Quality
Center, undertook a benchmarking study project to search for good
practice in knowledge management (Carpenter and Rudge, 2003). The
focal point of the study included questions such as knowledge
management enablers, knowledge management as a business strategy,
transfer of knowledge and best practice, customer-focussed knowledge,
intellectual asset management, innovation and knowledge creation.
Ruzevicius (2006) has identified four fields of commonality between total
quality management and knowledge management:
(1) similar aims;
(2) areas receiving particular attention;
(3) the position of organizations in regards to management; and
(4) issues concerning the financial benefit of implementing these
systems.”

To what extend do enablers explain results in the EFQM excellence model?

(Bou-Llusar et al., 2005)

The EFQM Excellence Model

“The EFQM Excellence Model comprises nine elements grouped under five
“enabler” criteria (leadership, policy and strategy, people, partnerships
and resources and processes) and four “result” criteria (customer results,
people results, key performance results, and society results). The enablers
represent how the organisation operates, and the results concentrate on
the achievements towards organisational stakeholders (those who have an
interest in the organisation), and how they can be measured and targeted
(EFQM, 1999) (Figure 1). Each criterion is broken down in several sub-
criteria and each sub-criterion is illustrated with various “guidance points”
that exemplify what the organisation has to do in order to develop the
criteria[1]. The EFQM Excellence Model – like other quality award models

32
such as the Malcolm Baldrige National Quality Award in USA or Deming
Price in Japan – is based on self-assessment. Self assessment implies a
comprehensive and regular review of an organisation’s activities and
results against the criteria of the model (Hillman, 1994; van der Wiele et
al., 1996; Conti, 1997; EFQM, 1999). Under taking self-assessment
process against the EFQM Excellence Model provides an objective,
systemic measure of an organisation’s strengths and areas of
improvement, and gives rise to the establishment and implementation of
action plans, integrated in business planning (Porter and Tanner, 1996;
black and Crumley, 1997). The self-assessment process also allows a
methodology to be adopted that will assess progress towards
TQM/Excellence on a regular basis by providing a comparison of sources
from assessments to track the real improvement achieved (van der Wiele
et al., 2000).”

E Additional appendices
E.1 IS Lite of Gartner
Quoting Gartner (gartner.com, 2011)
“IS Lite
A Gartner-defined concept describing a next-generation IS organization —
one that is slimmed down to "lighter," more flexible organization with a
smaller internal staff and more-focused competencies. This transformation
is enabled through the outsourcing of many functions (such as
infrastructure services) and the migration of others (such as system
development) to business unit IT groups. The IS Lite model splits apart
the IS organization as a bundle of activities and recasts it in terms of
three macroprocesses:
• Driving innovation in business use of IT and aligning business/IT
strategy
• Fostering and supporting business change
• Supplying and supporting the infrastructure
”

E.2 9 main criterions of EFQM

Quoting from Dubas and Nijhawan (2005)
“Enablers Results
1. Leadership
The importance of leadership, products and processes is recognized.
2. People
EFQM covers training, evaluation, effective human resource development,
team working, empowerment, and rewards and recognition.
3. Policy and Strategy
This covers product, service quality and organizational policy and strategy.
4. Partnerships and Resources

33
Active encouragement of supplier partnership is given, with emphasis on
mutually beneficial relationships. On resources, the facilities need to be
maintained for capability, and materials should be conserved.

5. Processes
The focus of EFQM is on the key processes necessary to deliver the
organization’s strategy.

Results
1. People Results
People are supposed to be adequately surveyed, with ideas such as team
briefings and suggestion schemes incorporated.
2. Customer Results
This requires evaluation of customer satisfaction through surveys and
interviews. Loyalty and market share are measures.
3. Society Results
EFQM asks the company to establish its impact on wider society, for
example involvement in community activities.
4. Key Performance Results
EFQM requires a “balanced scorecard” type approach, as well as cost of
quality, product and process measures.

E.3 8 Fundamentals concepts of excellence

Fundamental concepts “Source: efqm.org, 2011”

Quoting EFQM (efqm.org, 2011)
“The Fundamental Concepts of Excellence are the underlying principles of
the EFQM Excellence Model which are the essential foundation of achieving
Sustainable Excellence for any organisation.

34
Achieving Balanced Results
Excellent organisations meet their Mission and progress towards their
Vision through planning and achieving a balanced set of results that meet
both the short and long term needs of their stakeholders and, where
relevant, exceed them.

Adding Value for Customers

Excellent organisations know that customers are their primary reason for
being and strive to innovate and create value for them by understanding
and anticipating their needs and expectations.

Leading with Vision, Inspiration & Integrity

Excellent organisations have leaders who shape the future and make it
happen, acting as role models for its Values and ethics.

Managing by Processes
Excellent organisations are managed through structured and strategically
aligned processes using fact-based decision making to create balanced
and sustained results.

Succeeding through People

Excellent organisations value their people and create a culture of
empowerment for the balanced achievement of organisational and
personal goals.

Nurturing Creativity & Innovation

Excellent organisations generate increased value and levels of
performance through continual and systematic innovation by harnessing
the creativity of their stakeholders.

Building Partnerships
Excellent organisations seek, develop and maintain trusting relationships
with various partners to ensure mutual success. These partnerships may
be formed with customers, society, key suppliers, educational bodies or
Non-Governmental Organisations (NGO).

Taking Responsibility for a Sustainable Future

Excellent organisations embed within their culture an ethical mindset,
clear Values and the highest standards of organisational behaviour, all of
which enable them to strive for economic, social and ecological
sustainability.”

35