Rarely has IT had a problem with producing metrics. In fact, many IT shops probably produce too many metrics. When it comes to using metrics as a management tool, the issue is not quantity but relevance. Too many metrics and people become confused about what is really important and the administrative burden in collecting the data and producing the metrics has diminishing returns. The key to success is choosing a small number of metrics that are relevant and represent the true leverage points. Forrester believes that the IT Balanced Scorecard represents a superior framework for measuring and managing an IT organization with its focus on four perspectives (IT value, user, operational excellence, and future orientation) and its mix of leading (performance drivers) and lagging (outcomes) indicators. For the purposes of this exercise, we are limited to the five top metrics that IT management should focus on. Our point is not that these are the only metrics that you need, but that these five should be at the top of any IT measurement system.
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