The ROI of IT Service Management

IT service management, also known as ITSM, refers to the practices used by IT teams to manage the delivery of various services. Many activities and processes involved include delivering, creating, designing, and other support services. Many people misconstrue the practice as a mere support endeavor. However, this role refers to managing all technical aspects of the workplace. 

The ITSM framework is divided into two focus areas: IT service and support and IT service delivery. IT service and support comprises release management, incident management, configuration management, change management, service desk, and problem management. On the other hand, IT service delivery is more concerned with financial management, service level management, IT service continuity, capacity management, etc. 

What is ROI in ITSM?

ITSM deployment in the organization can elicit many cost-saving benefits for different operations. Moreover, there will be a competitive advantage over peers with exceptional service delivery and customer retention. ROI in ITSM arises from the following activities:

  • Business processes elicit low costs
  • Improved employee productivity
  • IT systems cost savings
  • Customers get a faster response time
  • Goods and services get marketed faster
  • Enterprise ITSM Vs. Adhoc ITSM

Some organizations undertake a piecemeal approach in ITSM implementation, i.e., adhoc. Others may opt to integrate a comprehensive organization-wide implementation of ITSM. Results from the market indicate that enterprise ITSM elicits more benefits than the adhoc ITSM ones. Enterprise ITSM tends to accrue more business advantages since these organizations undertake a solid implementation approach with extra money, time and effort. This reflects that the more you integrate ITSM into core operational aspects, the more significant benefits you can harness from it. 

Benefits of ITSM to Businesses

  • ITSM reduces IT costs

The lack of IT modernization in organizations can have a direct negative impact since technological breakthroughs, mission needs, and customer demands increase daily. ITSM is an immediate cost-avoidance strategy that can bring down costs efficiently through best business practices. The non-proscriptive nature of ITSM prompts businesses to reinvent their operational aspects routinely. The end result? IT modernizations. It can also help you find service enhancements that maximize investments, trace mission objectives, and improve security. 

  • ITSM is a corporate asset in the long run

ITSM is a value-adding activity to the firm’s various activities. It helps enterprises improve IT resources by achieving the recommended IT alignment. It maximizes the delivery and value of IT service through specific procedures, processes, technologies, and policies for managing, supporting, delivering, designing, and planning IT services. Activities like incident management function as IT help desk software. These specific components add value to the business operations, making them a valuable corporate asset in the long run.  

  • ITSM and enterprise service offers returns

The enterprise as a whole derives many end-to-end benefits from ITSM implementation. Many of the operations become productive and efficient in the long run with cost-effective strategies that bring forth ROI on IT investments. The efficiency gained in each process is optimized, and there is the further possibility of continual service improvement. 

ITSM brings down IT infrastructure and operations (I&O) costs that otherwise burden the organization with tactical and operational activities. The automated features of ITSM mitigate the risks and costs of excessive hiring by helping the organizations scale their processes without much human effort. ITSM also integrates standardization through the critical value of accountability. 

The ongoing digitalization trends and technological breakthroughs make ITSM a necessity in organizations. ITSM brings long-term ROI to the enterprise through automated features that bring forth efficiency, productivity, and enhanced operations. The formalized structure in ITSM practices improves the standardization of the operational aspects of business, bringing on long-term business benefits. 

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