In IT service management, what does the term 'capacity management' refer to?

Capacity management in IT service management focuses on ensuring that an organization has the right IT resources available to meet both current and future business needs. This involves assessing the demand for IT services and resources, forecasting future requirements, and ensuring that infrastructure and services can scale to meet those demands effectively.

This process is crucial for maintaining service quality and performance levels while optimizing resource utilization. By proactively managing capacity, organizations can avoid situations where resources are either over-provisioned, leading to unnecessary costs, or under-provisioned, leading to potential service outages or degraded performance.

In summary, capacity management is essential for aligning IT capabilities with business needs and ensuring that any growth or changes in demand can be accommodated without compromising on service delivery.