Capability management in business Capability management in business Capability management is the approach to the management of an organization, typically a business organization or firm, based on the "theory of the firm" as a collection of capabilities that may be exercised to earn revenues in the marketplace and compete with other firms in the industry. "Capability Management" seeks to manage the stock of capabilities within the firm to ensure its position in the industry and its ongoing profitability and survival. Prior to the emergence of capability management, the dominant theory explaining the existence and competitive position of firms, based on Ricardian economics, was the
Business service management internal business process, such as the support for a billing process which the finance department would own and manage. Business service is a broad term encompassing an array of industries serving the needs of corporation, consumers, and citizens. It includes various sectors like finance, professional services, management of companies, administrative support, hospitality and tourism. Service management is a generic activity which didn't originate from the IT industry, and therefore is much bigger and more widely applied than IT service management or business service management. BSM and ITSM can be considered as applications of service management in a specific context. IT