Set up applications assessment indicators

Application indicators are business metrics used to assess applications.

The assessment framework calculates the application score for each application on a scale of 1–10. Assessments are based on various configured indicators. Each of these indicators periodically captures the related application data, which is used to derive the application score. These indicators with the weightage are added to the application profile. The application is then associated with the application profile, which calculates the application score.

The indicators assess applications using dimensions such as, cost, quality, technical risk, investments, user satisfaction, business value, etc. Out-of-the-box indicators are sourced from Financial Management, IT Service Management, PPM, and Surveys/assessments. The data from these sources are derived through SQL query, ServiceNow survey assessments, performance analytics, and custom scripts.

Application Portfolio Management is integrated with key applications in the ServiceNow platform to provide a deep insight into the application. It helps you to:

  • Identify cost saving opportunities - the application segment in the IT Chart of Accounts in the Financial Management tracks the cost allocations at the application level, which provides a complete cost breakdown for the application.
  • Determine application rationalization - you can identify multiple applications assigned to the same application category or region/business.
  • Identify opportunities for application modernization/investments – you can identify applications, whose contracts have to be renewed, those having low functional usage, or customer satisfaction based on surveys from users and stakeholders.

The following table lists some out-of-the-box indicators and their sources. You can create additional indicators by copying and modifying them.

Table 1. Out-of-the-box indicators and sources
Indicator Description Source application Source context
Total opex Total opex allocated to the application for a given fiscal period Cost Transparency Cost bucket for opex
Total capex Total capex allocated to the application for a given fiscal period Cost Transparency Cost bucket for capex
External labor cost Total external labor costs allocated to the application for a given fiscal period Cost Transparency Cost bucket for external labor
Usage Number of user sessions and users for the application for a given fiscal period Query Condition Software model attached to application
Number of incidents Number of incidents reported for the application for a given fiscal period Incident Application reference on incident
Number of problems Number of problems reported for the application for a given fiscal period Performance Analytics Application reference on problem
Number of changes Number of changes reported for the application for a given fiscal period Change Application reference on change
Customer satisfaction (CSAT) Customer satisfaction captured through survey for the fiscal period Assessment Assessment metric type for application
Functional fit Functional fit captured through survey for the fiscal period Assessment Assessment metric type for application
Technical risk Technical risk captured through survey for the fiscal period Assessment Assessment metric type for application
Business value Business value captured through survey for the fiscal period Assessment Assessment metric type for application
Cost of support Total cost of support allocated to the application for a given fiscal period Cost transparency Cost bucket for support cost
Total change hours Summed duration of closed changes for an application for the given fiscal period Performance Analytics Application reference on change request
Number of active projects Number of active projects for an application for the given fiscal period Performance Analytics Application reference on projects