ITIL® 4 is the latest version of the Information Technology Infrastructure Library (ITIL®) framework, widely used by organisations worldwide for IT service management. One of the key concepts introduced in ITIL® 4 is the Service Value Chain (SVC), a high-level model that describes the processes and activities involved in service delivery for customers. Another related concept is the Value Stream, a more detailed view of the activities required to create customer value.
In this article, we will explore the difference between the Service Value Chain and the Value Stream in ITIL® 4 and how they work together to create value for customers.
Service Value Chain (SVC)
The Service Value Chain is a framework that describes the activities involved in customer service delivery. The SVC consists of six main activities or stages, which are:
1. Plan
2. Improve
3. Engage
4. Design and transition
5. Obtain/build
6. Deliver and support
Each of these activities is interrelated and interdependent, and together they form a value chain that enables organisations to create value for customers. The SVC provides a holistic view of the service lifecycle, from the initial planning stages to ongoing support and improvement.
Value Stream
The Value Stream is one of the four dimensions of service management in ITIL® 4. It is a more detailed view of the activities and processes required to create customer value. It provides a detailed analysis of the flow of value through an organisation, from the initial request to the final service delivery. The Value Stream identifies inefficiencies and areas for improvement and ensures that each stage of the process is optimised for maximum efficiency and effectiveness.
The Value Stream consists of three main components, which are:
Value-creating activities: These are the specific activities that create value for customers, such as design, development, testing, and deployment of services.
Support activities: These activities support value-creating activities, such as procurement, human resources, and financial management.
Management activities: These activities manage and control the overall value stream, such as planning, monitoring, and reporting.
The Value Stream is essential for organisations that want to improve their service delivery processes and create more value for their customers. By analysing the flow of value through the organisation and identifying areas for improvement, organisations can optimise their processes and increase efficiency and effectiveness.
Difference between SVC and Value Stream
The SVC is focused on delivering services, from initial planning to ongoing support and improvement. It is a holistic view of the service lifecycle, and it helps organisations understand how each stage of the process is interconnected and interdependent. The Value Stream, on the other hand, is a more detailed view of the specific activities and processes involved in creating value for customers. It provides a granular view of the flow of value through the organisation and helps organisations identify inefficiencies and areas for improvement.
Conclusion
The SVC and Value Stream are crucial tools for organisations looking to enhance their service delivery procedures and increase customer value. The Value Stream thoroughly examines individual activities and processes, whereas the SVC provides a high-level view of the entire process. Combining these two concepts will enable organisations to comprehensively understand the service delivery process and spot areas that could use a high-level and/or fine-grained change.
BridgingMinds offers ITIL® 4 foundation training to provide learners with an all-rounded understanding of the service management framework in ITIL® 4. We also provide various courses, such as Agile training in Singapore and cybersecurity courses. We also offer SSG training for individuals or organisations looking to reskill/upskill themselves. Contact us today to learn more!
BridgingMinds will also be holding an ITIL®️ Career Disruption Webinar in March. Discover the IT Value stream and Learn more about Digital Products, Digital Transformation and Customer Journey. Join our webinar to get updated on ITIL®️ 4 certification tracks and the latest updates.
The details of the webinar are as follows:
14 March 2023 l 2 to 4 pm
Live on ZOOM
Register via the link: https://us06web.zoom.us/webinar/register/WN_QcIbBXYXRgO4zknVgEbSuQ
