Revealed: 6 Major Principles Of Service Value Chain in ITIL 4



In this very article, I will be looking at all that you need to know about the Service Value Chain in ITIL 4. I will also talk about some of the ways that this principle can contribute to the principle of Value co-creation in ITIL 4. Follow me as we look at this principle together in this article.

Service Value System can be seen as the combination of all elements that are put together in order to ensure that the right values are been delivered to customers. 

Service Value Chain happens to be a part of the Service Value System. It is an operating model which outlines the key activities required to respond to demand and facilitate value creation through the creation and management of products and services. 


Revealed: 8 Major Principles Of Service Value Chain in ITIL 4

Now to the principles behind it…

#1 Not linear

One of the things you need to know about the Service Value Chain is that it is not a linear principle. That means you can start from where you are. You do not have to start from Obtain until you get to Deliver and Support. You can always analyse where you are on the ladder and continue from there. Remember one of the ITIL Guiding Principles states that you should always start from where you are.


#2 Usually starts with Engage

Another fact that you need to know about the Service Value Chain is that it always starts with Engage but not always. The Engage level is the stage where you have to communicate with customers and other stakeholders and ensure that you are able to articulate their views. This will allow you to formulate your project requirements and come up with a plan of action as far as the steps to take is concerned. 


#3 Central activities

If you look at the diagram very well, you need to note that there are some activities located in the centre of the circle. Some of these activities include Design and transition, obtain and build, engage, as well as products and services. These activities can happen in any sequence. Like I said earlier, one does not have to start before the other one can start.


#4 Overlaps

Also, overlaps between Improve and Engage , improve and central cube, improve and products and services illustrate the feedback loops that should be present between each part of the value chain via the improvement cycle. That means Improve should have a link with other parts of the value chain. This will also be linked to the feedback that we will be getting from the customers. That also means the improved aspect of the Service Value Chain should not be an afterthought. 


#5 Perceived value

Likewise, you need to know that perceived value drives the demand for the next order. If customers are not satisfied with their previous purchase, there is no guarantee that they will come back for repeat purchase. Therefore, when you are planning on products that you want to deliver to customers, you need to ensure that you carry your customers along as part of the stakeholders. 


#6 Understand the perceived value

There is a need for you to understand the perceived value that customers have about your products and services. You need to really understand the angle your customers are coming and make sure that you and your customers are on the same page as far as what the expectation should be is concerned. It is also not a bad idea if you have a concrete brand promise. This tells customers what they should expect from the interaction with your organisation. 



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Revealed: 6 Major Principles Of Service Value Chain in ITIL 4 1

Adeniyi Salau PMP , CCNA R&S , CDMP, CEP, MOS, MCP, CSCU (Project 2016), Microsoft Certified Security and Networking Associate is a Google and Beingcert Certified Digital Marketer, Project Manager and SEO Expert of repute with about a decade of Blogging and online marketing experience. He is always ready to share his experience with others.

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