An example method is provided and includes configuring a service on a network element; associating a directly connected port with the service to create a port channel between the network element and a directly connected service appliance, the port channel comprising a plurality of member ports; performing an auto-discovery process for each of the member ports; and, upon successful completion of the performing, indicating on the network element that the service appliance is operational. In certain embodiments, the network element includes an intelligent service card manager module (“ISCM”) that forms part of a Remote Integrated Service Engine (“RISE”) element with a corresponding intelligent service card client module (“ISCC”) installed on the service appliance. The method may further include, upon unsuccessful completion of the auto-discovery process, repeating the auto-discovery process.