Episode 15: Cost and Value — What’s the Difference?

Episode 15: Cost and Value — What’s the Difference?

In service management, cost and value are closely linked but not the same. This episode focuses on distinguishing these two concepts, which the exam often tests in subtle ways. Cost represents the resources required to deliver a service — the money, time, and effort invested. Value, on the other hand, is the benefit or outcome that the customer perceives from that service. For example, the cost of running cloud servers may be high, but the value to the customer could be even greater if it allows their business to scale quickly and reliably.

We’ll discuss why confusing cost with value can lead to poor decisions, such as cutting essential support functions because they appear expensive while ignoring the value they create in preventing downtime. By practicing with these distinctions, you’ll sharpen your ability to analyze service tradeoffs, which is useful both for the exam and for real organizational decision-making. This episode was produced by BareMetalCyber.com.

Jaksot(59)

Episode 19: Service Offerings Explained

Episode 19: Service Offerings Explained

Service offerings form the bridge between a service provider and the consumers who benefit from their services. In this episode, we’ll define what an offering is in ITIL terms — a formal description o...

1 Syys 202520min

Episode 18: Utility and Warranty — Twin Pillars of Service Value

Episode 18: Utility and Warranty — Twin Pillars of Service Value

Utility and warranty together define whether a service truly delivers value. In this episode, we’ll revisit and expand on these two foundational concepts. Utility is fitness for purpose — does the ser...

1 Syys 202523min

Episode 17: Understanding Risk in Services

Episode 17: Understanding Risk in Services

Risk is an unavoidable part of delivering services, and ITIL places strong emphasis on understanding how risk shapes outcomes. In this episode, we’ll explore the ITIL definition of risk as a possible ...

1 Syys 202519min

Episode 16: Outputs vs. Outcomes — Getting Real Results

Episode 16: Outputs vs. Outcomes — Getting Real Results

One of the most important distinctions in ITIL is between outputs and outcomes. Outputs are the direct deliverables of a process — the things you produce, like a software update or a report. Outcomes ...

1 Syys 202522min

Episode 14: Value in Everyday Life

Episode 14: Value in Everyday Life

Abstract definitions can be difficult to grasp, so this episode connects ITIL’s concept of value to examples you use every day. Think of subscribing to Netflix, hailing a ride on Uber, or ordering thr...

1 Syys 202523min

Episode 13: Service Management as a Practice — What It Means

Episode 13: Service Management as a Practice — What It Means

Service management is more than a collection of processes; it is a professional practice that organizations adopt to consistently deliver value. In this episode, we’ll define what ITIL means by “servi...

1 Syys 202524min

Episode 12: Customers, Users, and Sponsors — Roles in Service Management

Episode 12: Customers, Users, and Sponsors — Roles in Service Management

Service management is not just about technology; it’s about people and their roles in creating and consuming value. In this episode, we’ll explain the three primary roles ITIL identifies: customers, u...

1 Syys 202522min

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