Business services are the support systems that help businesses in achieving their goals and earning profits. They are the specialized activities that assist in non-core functions, like IT, marketing and shipping.
Unlike goods, which are physical in nature and can be stored for use at some later time, the provision of Business services does not result in the creation of any tangible product. This characteristic distinguishes them from products such as a rented apartment or the services of an accountant or lawyer, which are considered goods.
Another distinctive feature of Business services is that they can be produced and consumed simultaneously. This characteristic allows them to be a source of competitive advantage for the organization that provides them. Moreover, because they are intangible assets, they cannot be stored like inventory and must be produced at the moment they are required.
In addition, they are often characterized by their ability to interact with other business services. This makes it difficult to define their boundaries. Therefore, it is important for the company providing Business services to have a clear understanding of its capabilities and limitations.
It is also necessary for companies to clearly define their Business services in order to effectively manage and optimize them. This will help to ensure that they are delivering the most value to their customers and can provide a clear understanding of their impact on service levels, performance and costs.
To do this, it is important for organizations to foster collaboration between IT and business functions and involve them in decision-making processes. This will help to ensure that IT services are aligned with business objectives and can effectively deliver the outcomes that the business requires.
Additionally, it is important for organizations to implement automation technologies to enable them to predict and prevent service disruptions and enable self-healing IT systems. This will allow them to reduce operational risks and costs while enabling the delivery of more responsive and effective IT services.
As a result of these trends, it is critical for companies to continuously invest in Business services management (BSM) practices and tools. This includes ensuring that IT services are aligned with business goals and are responsive to changing business requirements. It also requires the development of a flexible and agile IT architecture that can respond to rapidly evolving technologies and business demands. Finally, it requires the development of a robust business services catalog and the adoption of best practice models such as ITIL.