3.2.2 Key Concept Distinctions: Part 2

Continuing the clarification of important ITIL terms and their practical differences.

Concept AConcept BKey Difference Tested (Exam Focus)Practical Implications
IT AssetConfiguration Item (CI)Focus on financial value & lifecycle VS. Focus on needed for service delivery & relationships.ITAM tracks financial value; SCM tracks components needed to deliver services and their relationships (for impact analysis). Can overlap.
SLAOLAAgreement with Customer VS. Agreement between Internal teams.Defines external commitment (SLA) vs. internal dependency (OLA). Both are needed to meet SLAs.
UtilityWarrantyFunctionality ('what it does') VS. Assurance ('how it performs')."A service can have high utility but poor warranty (e.g., great features but always down). Both are crucial for value."
OutcomeOutputResult for stakeholder VS. Deliverable from activity.Focus on the business impact (Outcome) rather than just the deliverable (Output). Drives value.
Service ProvisionService ConsumptionActivities by Provider VS. Activities by Consumer.Understanding both sides of the service relationship is key to effective service management.
Service Provision/ConsumptionService Relationship MgtIndividual activities VS. Joint activities for value co-creation.Relationship Management is the bridge that ensures Provision and Consumption are aligned for value.
Customer Engagement (in SLM)Customer Feedback (in SLM)Active listening/discovery (goals) before service VS. Satisfaction/opinion after service.Proactive understanding of needs (Engagement) vs. reactive assessment of performance (Feedback). Both are valuable for SLM.