What's After BSM? Understanding The Financials

Enterprises with mature business service management (BSM) systems are able to measure and report quality of service at the business level; they can also assign sensible, business-centric prioritization to service performance events and other incidents. Their next requirement is to add financial analysis elements to the service management reports so that the business can understand the true cost of service operations and become involved in demand management decisions. This cost-of-service measurement requires a technical solution that maps business services to cost centers, such as operation infrastructure and resources. New chief information officers (CIO) and IT operations executives often target this phase, as they wish to understand where 60% to 80% of their IT budget is going and how they can rationalize those costs.