Analysis of ITIL Framework Implementation at Celanese Corporation

Desklib provides past papers and solved assignments. This report analyzes Celanese's ITIL implementation and cost-saving strategies.

Use of ITIL at Celanese
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Executive Summary
This document contains information about the implementation and
importance of Information technology infrastructure library in the
company named Celanese. This document is divided into two sections that
are Celanese Report and Reflective Learning journal. These sections
covered processes and functions, integration and communication between
process and functions, advantages and complexities of the operation
support model, etc. The reflective journal given in this document will
define a detailed reflection of the learning. This also includes
recommendations on the basis of the case study.
Keywords: Re-engineering processes, IT service management, IT operations
1. Introduction
The report is based on the case study of “Finding the process edge: ITIL at Celanese”.
This point out the issue in the Celanese company that is improper management of the
processes and functions. The company is a global leader in the chemicals industry
field. It is the largest producer of the acetyl products in the world. It is also a producer
of polymers. The headquarter of the company is situated in Dallas. ITSM (information
technology service management), ITIL (Information technology infrastructure library) is
used as analytical tools for this. ITIL is a set of best practices that are used to manage
the IT operations and cut the cost. The re-engineering process refers to the redesign of
the core business process. This improves productivity. IT service management refers to
the set of all activities that are involved in the design, operate, plan and control process
of information technology
2. Understanding and analysis
2.1 Process and functions at Celanese
There are various functions and processes at Celanese. Processes include Service level
management, change management and configuration management. It produces acetyl
products and High-performance engineered polymers. The service level management is
the management of IT services that ensure the timely delivery of services to the right
place. The capacity management ensures the delivery of IT infrastructure at the right
time, at the right price and ensure the efficient use of IT infrastructure.
2.1 Opinion about communication and integration
The communication and integration were not proper in Celanese. As recommendation f
HP to commence improving the customer-facing process that is Service level
management, did not work well according to the IT directors. IT directors did not notice
the customer relationships to be the area in which they were planned to start the IT
ITSM Assignment Report – 2806ICT
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experimentation. Thus, to address the Celanese specific problem, manager of Global IT
operations bootstrapped and implement the exclusive- albeit ITIL informed solutions.
There was resistance to reporting to a CIO, this integration was not smooth. Then,
Celanese implemented a single instance ERP system as a part of the information
technology infrastructure integration of the organization. This help the company in a
transaction system and consolidation system. proper communication was not there
among the application, demand and infrastructure group. It was the right decision that
integration work required to an emphasis on the internal processes of IT. The Celanese
also had a decentralized approach to overall IT.
2.2 ITIL best practices contribution or help
The information technology infrastructure library helped to manage the IT-related
operations. This provides a set of processes that address the work that needs to be
managed. It helps in Service management, change management, release management,
problem management, and configuration management. It also helps to manage the
processes that are forward-looking, such as capacity management, service-level
management, contingency planning, availability management, and financial
management (Ahmad and Shamsudin, 2013). It also contributes to developing a service
strategy, service design, service transition, service operation, and continual service
improvement. This ensures the alignment of the business objective with the goal can be
achieved effectively. ITIL best practices help the HP to identify the causes and solutions
of the problems in Celanese. The problems were improper service-level management,
insufficient transparency in the production environment, insufficiency of documentation,
tools, ITIL processes, and integrated processes. Recommendations were also being
made with the help of ITIL to solve the issues such as SLA should be included for each
service, adopt a federated or single tool solution and a standard documentation process
should be created. The OLAs also helped to improve the cross-functional work in the
company (Gacenga and Cater-Steel, 2014).
2.3 ITIL can help to cut the cost
Three specialists of ITIL added to the organization. that improved the focus on incident
management, change management, and problem management. It helps the organization
to manage the information with respect to tools which are used for the process of
generating reports. Also, the training in ITIL turned the employees into an ITIL believer.
The ITIL taskforce improved the implementation and design of IT service (Yamami and
Ahriz, 2017). These 3 initiatives included the Opsware implementation, development of
problem classification and design of new OSM (operation support model). Also, the cost
model helps the organization to offer the most cost-effective solutions. 5 ITIL initiatives
help the company to cut down the cost that are change control, service-level
management, service transition, processes ownership, and problem management. In
2009 at Celanese, OLAs can also be used to cut down the cost. Following the ITIL,
Celanese adopted a path in which performance was prioritized over the process
discipline. This approach helped to cut down the cost in 2005.
2.4 RACI model in the OSM
Operation support model implemented in phases. OSM uses the RACI model for the
clarification of roles and responsibilities. RACI is an acronym that stands for:
Responsible, Accountable, Consulted and Informed. It was a business-critical operation.
RACI models describe the ownership types. Where R indicates to Responsible, it shows
that the owner contributed and worked on the resources. Whereas A (Accountable)
ownership type refers that only the owner solely responsible and answerable for the
process completion. Each process can have maximum one A-type owner.
2.5 Benefits V/S complexity in the OSM
Benefits of the operation service model include that OSM put the accountability on the
person who actually owns the services. It provides support to maintain the vendor
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relationship with the business owner. OSM meeting help to find a lot of things such as
hardware pieces, application working, business needs, etc. The Celanese has almost
400 services that require to be defined by OSM. Along with the benefits, there were
many complexities to work with the Operation service model and “bureaucratic”. The
OSM completion could cause delays. The key challenge in the OSM is to identify the
single service owner. Also, it can take several days or months to take approval. Without
the approval of the OSM, administrative access cannot be given, because that is against
the policy and that can affect a lot of operations.
2.6 ITSM tool and potential benefits to Celanese
HP assesses the company with the help of information technology service management
tool. In this assessment, Celanese scored 45.6% in information technology service
management field and that was below average score. This help to identify gaps in the
between processes in the Celanese IT organization (Galup and Jing, 2017). OLAs helped
as a starting point to improve IT service management. This assessment helped to
improve the operations and processes in the Celanese company. ITSM improved
accountability using standardization. The ITSM save a Lot of time as it focuses to
provide IT as a service. This help the organization to work effectively and efficiently.
This also helped in change management and save money at Cleanse (Iden and
Eikebrokk, 2013).
3. Reflective learning journal
The First half of the course described the introduction of the company, the effects of the
absence of ITIL in the company. Being a producer of multiple products and global
leader in own field, there are multiple processes and functions in the company. Through
the given case study, I have analyzed that ITIL is able to cut down the cost. It helped to
learn that there are specific processes that are related to the ITIL such as service level
management, change management, etc. In my opinion, the company should follow the
ITIL recommendations from starting to cut the cost. Thus, it is clear that an IT Director
should have knowledge about the importance of ITIL. Also, in my opinion, the CIO
should know the importance of the re-engineering process to improve productivity. The
company should give efforts on the ITIL and give visible support to the successful
implementation of the ITIL initiatives.
The recommendations provided by the HP did not work well with the IT directors. Thus,
in my opinion, the company should handle ITIL work in a different manner that is more
aggressive but structured. This could help the company to cut down the cost. It should
be recommended to determine the weakness and strengths of the chosen path. Proper
prioritization plan should be created to prioritize the 5 projects for the improvement of
the IT service. In my opinion, there should be a central IT organization who can take
responsibility for IT infrastructure and tasks. Also, the single instance ERP system
implementation, cut the advantages of standardization and elimination of resource
duplication help the Celanese company to cut down the cost.
From the first half of the case study, I have learned the impacts of the absence of ITIL in
a company, importance of awareness of CIO and IT director, the role of re-engineering
process and a central IT management. Along with this, communication and integration
between ITIL processes and functions are necessary to achieve the desired goal with
minimum cost. The transition to a standard IT structure is not possible and smooth
without the integration and communication between processes. Elimination of resource
duplication, implementation of a single instance ERP system can help to cut down the
cost.
The second part of the case study showed the importance and impact of ITIL, ITIL
initiatives in Celanese and operation support model. I have learned that ITIL is a set of
best practices that can help to cut down the cost in the company. This can address
processes such as incident management, configuration management, service-level
management, etc. The ITIL can ensure the alignment of the process with the
organization’s goals and objectives. I have learned about 5 projects or books of the ITIL
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that are service strategy, service design, service transition, service operation, and
continual service improvement. In my opinion, using ITIL v3 can ensure the strategy-
focused processes and alignment of processes with the business goal. The ITIL is able to
identify the causes and help to determine the recommendations for the improvement. I
have learned that the operation support model has advantages but also has some
complexities. I have learned that service-level management should include SLA for
each service and the company should adopt a federated or single tool solution to
improve the integration. In my opinion, the company should know the maturity level.
In my opinion, it would be better to take ITIL certification in order to implement ITIL in
a better way.
I have learned that on the basis of cost-cutting potential, Celanese implemented the IT
Initiatives. In my opinion, the company should focus on the ITIL from the beginning
along with the short-term goals. Also, the CIO should support ITIL initiatives. Proper
communication and integration should be there between OSM, ITILers, and Vendors.
In my opinion, it is not a bad deal to invest cost on the high availability of the system.
Proper prioritization of the processes is necessary. I also learned that people can also
help to get a good result even if you don’t have processes.
4. Conclusion
The report was based on the case study that is” Finding the process edge: ITIL at
Celanese”. The report helps to determine the problem in the Celanese company. The
ITIL help to improve the functions and operations in the company and cut the cost. The
operation support model offered various benefits but it also has some complexities that
make it bureaucratic. The Overall report shows the implementation and involvement of
the information technology infrastructure library in the Celanese company. The report
also includes a reflective learning journal which includes the learning and
recommendations on the basis of the case study.
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5. References
Ahmad, N. and Shamsudin, Z. (2013). Systematic Approach to Successful
Implementation of ITIL. Information Technology and Quantitative Management
(ITQM2013), [online] 17(5), pp.237-244. Available at:
https://www.sciencedirect.com/science/article/pii/S1877050913001658 [Accessed 4
Apr. 2019].
Gacenga, F. and Cater-Steel, A. (2014). An International Analysis of IT Service
Management Benefits and Performance Measurement. Journal of Global Information
Technology Management, [online] 13(4), pp.28-63. Available at:
https://www.researchgate.net/publication/215879517_An_International_Analysis_of_I
T_Service_Management_Benefits_and_Performance_Measurement [Accessed 4 Apr.
2019].
Galup, S. and Jing, Q. (2017). Information technology service management: An
emerging area for academic research and pedagogical development. Conference on
Computer Personnel Research, [online] 17(5), pp.67-89. Available at:
https://www.researchgate.net/publication/220271477_Information_technology_servic
e_management_An_emerging_area_for_academic_research_and_pedagogical_develo
pment [Accessed 4 Apr. 2019].
Iden, J. and Eikebrokk, T. (2013). Implementing IT Service Management: A systematic
literature review. International Journal of Information Management, [online] 33(3),
pp.512-523. Available at:
https://www.sciencedirect.com/science/article/pii/S0268401213000078 [Accessed 4
Apr. 2019].
Yamami, A. and Ahriz, S. (2017). Developing an Assessment Tool of ITIL Implementation
in Small Scale Environments. International Journal of Advanced Computer Science
and Applications, [online] 9(8), pp.78-90. Available at:
https://www.researchgate.net/publication/320128043_Developing_an_Assessment_T
ool_of_ITIL_Implementation_in_Small_Scale_Environments [Accessed 4 Apr. 2019].
6. Appendices
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