The impact that the development of the digital age and technology is making on businesses is more than notable. Technology pushes and market pulls are facilitating new ways of living and working, by introducing concepts such as cloud computing, social business, or mobility. Taking into consideration the constant leaps in technology, it is easy for us to forget about the basic tasks of IT that ensures operational excellence-IT service management(ITSM). The better we get at developing a solid ITSM service strategy, the better we get at operational excellence, customer satisfaction, meeting new market demands, and IT agility in general.

As Harvey Koeppel (Pictographics Inc.) states in an article, “CIOs and the departments they run need to transform themselves simultaneously from the top down and from the bottom up, all while continuing to provide uninterrupted service at the same or higher levels than today”. But as frightening as that sounds, not being able to incorporate and maintain your ITSM processes is even more hazardous for your career and your business in the ever-changing digital environment we live in.


For example, a company that designs and supports SaaS products that their clients and their clients’ employees use started with a product that was overly complex and fragile. Without an ITSM service strategy, the products were breaking a few times per week. In a fast-moving environment where innovation and digital transformation are key elements and should be given a great deal of focus, they were dealing with malfunctions.

With the arrival of a new IT specialist, who pointed out that firstly, the products had to be made solid, reliable and high-performing in other words – with the implementation of an ITSM strategy, the digital transformation began. They defined a service catalog and service levels, and after that, they used a quality incident response and resolution process to get to and resolve the root cause of their application problems.

They consistently applied their ITSM service strategy to their products, improving performance and they were able to focus on proactive innovation of their products. As they made that shift, they retained their focus on their use of ITSM principles.


Organizations were merging and evolving even before the digital age, but now they are having to adopt ever increasing layers of IT for all areas of their businesses and it is affecting all industry sectors. The early adopters are usually in the high-level competition industry sectors. Managing these constantly evolving IT services has become an issue for business leaders as each business application incurs further cost and complexity.

Now we will look at the increasing importance of ITSM Service Management and how it has become crucial in solving the most pressing of IT management challenges. Through mergers, acquisitions or by the deployment of these IT-enabled services and new applications the complexity of the supporting network infrastructure increases. Confining all of these diverse elements and at the same time managing a number of linking technologies is posing significant managerial challenges. This can range from providing compatibility for different systems and processes, to that of simply monitoring system and network availability as well as application performance.

Given the increased demand for limited resources that we have plus the rising complexity of our businesses and costs of ownership, the costs of these actions may exceed their benefits. Consequently, the IT departments must be viewed as a »cost center« in the business process, needing to implement both innovation and improved customer satisfaction back to the business.


A correctly implemented ITSM service strategy can protect your company against license compliance audits by software vendors, link the direct costs and benefits regarding systems and software and can give clear feedback on each strategy applied. Not applying a proper IT asset management (ITAM) strategy can result in various operational problems and even fines from technology vendors.

The penalties for businesses using out of licensing compliance systems and software can be as much as $30,000. These vendors tend to communicate with each other about their customers that are not in compliance so you can expect additional audits if caught with a non-compliant product.


IT system management may seem redundant for most of the industry sectors for now, but the Internet of Things is expected to grow five times in the next five years and that means five times more devices with intelligence and a network connection. Each of these devices will have its own software and will be sending and/or storing data in order to improve your experience with it. Manually managing such amounts of data today is impossible in five years it will be absurd.

Implementing ITSM Service Strategy for your Cloud Business