Episode 12: The five stages of ITIL service lifecycle

IT service management has been around for decades, and its most widely used framework is ITIL, the IT Infrastructure Library. Let's explore what ITIL is, why it matters, and how its five core disciplines can help procurement professionals contract and manage IT services more effectively.

What ITIL aims to achieve

ITIL brings together industry best practice for managing IT services. It has evolved over the last 30 years, but the core purpose remains the same: defining how an IT service should be structured and delivered. The framework gives procurement teams a clear way of understanding service expectations, risks, and responsibilities when working with suppliers.

Service strategy

The first discipline is service strategy. This is where organisations define what they are trying to achieve with an IT service and what outcomes matter. Getting this right creates the foundation for everything that follows.

Service design

Service design builds on the strategy. It is not just about technology, but about designing the service, the organisation around it, and the operational approach needed to deliver the expected outcomes. This stage clarifies how the service will actually work.

Service transition

Service transition focuses on how to move from the current state to the future service. It considers the tasks, risks, and changes involved in making the transition successful. If strategy or design have been rushed, this is where problems tend to surface.

Service operation

Service operation is often seen as the most important stage. It defines how the service will run day to day and covers the core operational activities that keep everything working. Clear expectations at this stage help avoid surprises once a service goes live.

Continual service improvement

The final discipline is continual service improvement. This formalises the process of reviewing how the service is performing, what has changed in the organisation or marketplace, and what updates are needed to keep it effective over time.

Why ITIL matters for procurement

Alongside these five stages, most IT services are measured through service level agreements and key performance indicators. These allow the service to be commercialised in a clear, structured way. Procurement teams can use the ITIL framework as a checklist when creating statements of work to ensure every aspect of the service is understood and documented.

Armed with these five layers, organisations can build stronger contracts, clearer expectations, and more effective supplier relationships.

For organisations looking to improve how they procure and manage IT services, get in touch.