DEMAND MANAGEMENT

No matter what business is running underneath, Value creation for the customer is the key factor that should consider in the business. The value which has created at customer end defines the demands of the service. Here demand management comes into the picture along with capacity management which is the processes which define major roles in business.

Demand management needs following aspects to identify the demands
Activity based demand management
Patterns of the business activity

In Business, Patterns of the business & user profiles which have identified asa Business relationship management process will pass as demand patterns in service process. It enables the requirement of capacity management to deliver the required service which has generated by the demands. Anyhow decrements & increments in capacity management will drive up or down to the pattern of the business activity.

Following are few scenarios that demand management’s focus on arising matters.

1. High demand makes service degrades
2. Some faults in configurations or hardware might cause to partial interruptions to the service
3. High demand as well as Higher cost to serve.
4. Less capacity to serve for sudden demand

Well, capacity must be assigned to the business priorities first. And according to the circumstances capacity should redistribute to ensure critical services which has not been affected. In another scenario service delivering need to divide to difference phases or Business relationship management need to assure customer’s satisfaction. However increment in capacity also effects on the cost of the services.