ITIL Measurement and Reporting

Discover how ITIL measurement and reporting can drive data-driven decisions and improve IT performance for your organisation.


Every strategic conversation I sit in these days includes the phrase “data-driven”, the ITIL Measurement and Reporting practice provides the tools to make IT performance visible, meaningful, and actionable.

This isn’t about collecting numbers for the sake of it. It’s about telling the story of IT—how it’s performing, where it’s adding value, and where it needs to improve. When done right, measurement becomes a lever for change. Reporting becomes the evidence behind decisions.

“You cannot control what you have never defined, and you cannot measure what you cannot control.”
— Trevor Wilson, ITIL Trainer



Why ITIL Measurement and Reporting Matters

Measurement and Reporting help you:

  • Track service performance – uptime, resolution time, satisfaction scores
  • Spot trends and issues – before they escalate
  • Align IT with business goals – show how IT contributes to outcomes
  • Drive accountability – through transparent, data-backed reporting
  • Enable continuous improvement – by turning results into action

It gives leadership clarity, teams focus, and the organisation a clearer sense of how IT is doing—beyond anecdotes or gut feeling.


What ITIL Means by Measurement & Reporting

In ITIL 4, this practice is about using data to inform decisions and improve services. That means:

  • Defining what matters
  • Choosing the right things to measure
  • Collecting data consistently
  • Interpreting it in context
  • Reporting it in ways people can understand and act on

It’s not just about KPIs. It’s about purpose, outcomes, and the behaviours you want to drive.


From Purpose to Performance: What You Measure and Why

ITIL 4 encourages a disciplined approach to measurement—start with the why, then decide what to measure and how to use the results. Here’s how it all fits together:

1. Purpose: Why Are You Measuring?

The purpose is your starting point. It’s not about dashboards or SLAs—it’s about what outcome you’re trying to achieve.

Ask:

  • What are we trying to improve, prove, or understand?
  • What decisions do we want this data to support?
  • What behaviour do we want to influence?

If you can’t link your measurement to a business outcome, ask whether it needs to be measured at all.

ITIL measurement and reporting Planning & Evaluation Model
ITILs Planning & Evaluation Model

2. Objectives: What Are You Trying to Achieve?

Once you’ve got your purpose, define objectives—specific, measurable targets that will help you achieve it. Objectives give your measurement activities direction and focus.

A vague objective like “improve service” is useless. “Resolve 90% of priority 2 incidents within 8 hours” gives you something to work with.

3. KPIs: How Will You Measure Success?

A Key Performance Indicator (KPI) is a high-value metric tied to a strategic goal. KPIs help decision-makers monitor success and prioritise improvements.

Not every metric is a KPI. Only the ones that:

  • Directly support your objectives
  • Drive decisions or actions
  • Reflect what “good” looks like

4. Metrics: What Are You Actually Measuring?

Metrics are raw data points—volume, time, cost, satisfaction, etc. They’re valuable, but not all are strategic. Many support operations rather than decisions.

Think of it this way:

  • Purpose = why we care
  • Objective = what we want
  • KPI = how we track success
  • Metric = the data that feeds the KPI

Example: IT Service Desk

Let’s break this down with a real-world example:

ElementExample
PurposeEnsure users receive fast, effective IT support
ObjectiveResolve 90% of issues on first contact within one business day
KPIFirst Contact Resolution Rate (FCRR)
Metric% of total issues resolved on first contact

This clear line from purpose to data ensures that what’s being measured supports decisions—and keeps IT aligned with what the business cares about.


25 Key KPIs and Metrics for IT Service Measurement & Reporting

Not every metric belongs in a board report—but every good report starts with meaningful data. These KPIs are grouped to help you focus on the areas that matter most to your ITSM goals.

1. Service Performance & Availability

KPIDescriptionFormula
Service Availability% of time a service is available for use(Uptime / (Uptime + Downtime)) × 100
Mean Time to Repair (MTTR)Average time to recover from a failureTotal downtime / Number of incidents
Mean Time Between Failures (MTBF)Time between failuresTotal operational time / Number of failures
Mean Time to Acknowledge (MTTA)Average time to acknowledge an incidentTime from report to acknowledgement
Network DowntimeTotal time the network was unavailableCumulative downtime over period

2. Incident & Request Management

KPIDescriptionFormula
Incident Resolution TimeAverage time to resolve incidentsAverage time from opening to resolution
First Contact Resolution Rate (FCRR)% of incidents resolved at first contact(Resolved on first contact / Total incidents) × 100
Repeat Incident Rate% of incidents that recur(Repeat incidents / Total incidents) × 100
Escalation Rate% of tickets escalated to higher tiers(Escalated tickets / Total tickets) × 100
Ticket Volume TrendChange in ticket volume over timePeriod-on-period comparison

3. Change & Project Performance

KPIDescriptionFormula
Change Success Rate% of changes implemented without disruption(Successful changes / Total changes) × 100
% Emergency ChangesProportion of changes labelled as emergency(Emergency changes / Total changes) × 100
% Projects on Time% of projects completed as scheduled(On-time projects / Total projects) × 100
% Projects on Budget% of projects delivered within budget(On-budget projects / Total projects) × 100

4. Customer Experience

KPIDescriptionFormula
Customer Satisfaction (CSAT)Average satisfaction scoreAverage survey rating
Net Promoter Score (NPS)Measures customer loyalty% Promoters – % Detractors
User Error Rate% of incidents caused by users(User-error incidents / Total incidents) × 100

5. Cost & Efficiency

KPIDescriptionFormula
Cost Per TicketAverage cost to handle a ticketTotal support cost / Number of tickets
IT Spend as % of RevenueIT cost compared to revenue(IT spend / Revenue) × 100
Downtime Impact on RevenueFinancial cost of outagesRevenue loss from downtime / Revenue

6. Infrastructure & Application Health

KPIDescriptionFormula
Application Load TimeTime it takes apps to load for usersAverage load time (seconds)
CPU Utilisation Rate% of CPU being used(CPU time used / Total CPU time) × 100
Memory Utilisation Rate% of memory in use(Memory used / Total memory) × 100
Storage Utilisation Rate% of storage used(Storage used / Total capacity) × 100

These KPIs support a wide range of decisions—from improving service performance and optimising IT spend to demonstrating value to the business.

How to Make Measurement & Reporting Work: 10 Practical Recommendations

Measurement and reporting only create value if they lead to insight, action, and improvement. Here’s how to build a meaningful and effective practice in your ITSM environment.

1. Start with the Business in Mind

Don’t measure everything—measure what matters. Align your KPIs to business goals, not just technical performance. For example: “Reduce time lost to outages” is more useful than “Average packet loss”.

2. Don’t Drown in Data

More data isn’t better—better data is. Prioritise a core set of metrics that offer insight, not just numbers. Focus on trends, exceptions, and behaviour drivers.

3. Integrate Across Practices

Measurement should support all key ITIL practices—incident, change, availability, capacity, and more. Avoid siloed dashboards and make sure reporting informs cross-functional decisions.

4. Standardise for Consistency

Agree definitions, formats, and collection methods for each metric. A KPI is only credible if everyone knows exactly how it’s measured and reported.

5. Turn Data into Action

Train your teams to go beyond observation. Encourage them to ask “What does this tell us?”, “Why is it happening?”, and “What should we change?”

Where possible, connect KPIs to revenue, productivity, customer experience, or risk. This helps IT show its value and secure support for change and investment.

7. Use Both Leading and Lagging Indicators

Lagging indicators show results (e.g. CSAT, availability). Leading indicators predict future risk or performance (e.g. backlog size, missed patch windows). Use both for a full picture.

8. Present Data for Impact

Use dashboards and visualisations to make reports easier to read and faster to understand. Tailor what you show depending on who you’re showing it to.

9. Embed Continuous Improvement

Use measurement as a trigger for review, not just reflection. Feed reporting outputs directly into your improvement planning cycles—monthly, quarterly, or by exception.

10. Explore Automation & AI

Consider tools with built-in analytics, forecasting, and anomaly detection. AI and machine learning can help spot patterns and predict issues before they happen.


Implementing Measurement & Reporting: A 8-Step Approach

You don’t need dozens of dashboards to get started. What you need is a structured, purpose-led process. Here’s how to do it right:

Step 1: Define What Success Looks Like

Start with purpose. What are you trying to achieve? Are you improving service speed? Reducing downtime? Supporting a business transformation?
📌 Tip: Every measurement goal should map to a business or ITSM outcome.

Step 2: Choose the Right KPIs & CSFs

Identify the critical success factors (CSFs) for your goals, then define a few meaningful KPIs to track them.
Make sure your KPIs are SMART—Specific, Measurable, Achievable, Relevant, and Time-bound.

Example: If your CSF is “Reduce user downtime”, a KPI might be “First contact resolution rate” or “Average incident resolution time”.

Step 3: Establish Baselines and Set Targets

You need to know your current state before you can measure improvement.
Start with a baseline—then agree short-term and long-term targets that reflect your capacity to change.

Example: Uptime is currently 97.5%. Set a realistic six-month target of 98.5%.

Step 4: Select Tools and Technologies

Use platforms that can gather, store, and report on your chosen metrics efficiently.
Whether you’re using an ITSM platform like ServiceNow or building your own dashboards, the tools must integrate well with your environment.

Step 5: Define Data Collection Methods

Be clear about where your data will come from—and how it will be kept accurate and up to date.
Automate where possible. Avoid manual tracking unless absolutely necessary.

Good data fuels credibility. Poor data undermines trust.

Step 6: Analyse the Data Regularly

Don’t wait for quarterly reports. Build in monthly or even weekly reviews of the numbers.
Look for trends, anomalies, bottlenecks, and exceptions. Ask “What’s changed?” and “Why?”

Step 7: Report Insights to the Right People

Tailor your outputs:

  • Executives want outcomes
  • Managers want performance trends
  • Front-line teams want actionable insight

Use visuals where possible. Keep the message focused. Avoid data-dumps.

Step 8: Review and Refine the Approach

Make this a living practice. Regularly review what you’re measuring and whether it’s still useful.
If a KPI stops driving decisions—retire it. If a new priority emerges—introduce something new.


Conclusion: Make the Data Work for You

Measurement and Reporting aren’t just ITIL checkboxes—they’re how IT proves its value, drives better decisions, and stays aligned with the business.

Done well, this practice helps you:

  • Focus on what matters
  • Catch problems before they escalate
  • Justify investments with hard data
  • Show how IT contributes to growth, stability, and service excellence

But none of that happens just by collecting numbers. It happens when you turn data into action—and use it to continuously improve.

The organisations that thrive are the ones that learn from their data, not just report it.


FAQs

What’s the difference between a metric, a KPI, and a CSF?

A metric is any data point you can track—volume of tickets, uptime, average resolution time. A KPI (Key Performance Indicator) is a high-value metric directly tied to strategic goals. It tells you whether you’re succeeding. A CSF (Critical Success Factor) is the condition you need to meet for your objective to succeed.

Think of it like this:
CSF: “We must reduce user downtime.”
– KPI: “First Contact Resolution Rate”
– Metric: “% of issues resolved on first contact”

All KPIs are metrics, but not all metrics are KPIs—and CSFs come first.

How many KPIs should we track in IT service management?

As few as you can get away with—and no more than you need. More KPIs don’t mean more insight. In most environments, 8–12 core KPIs per team or function is a reasonable number.

Each KPI should:
– Link to a business or ITSM objective
– Influence decisions or improvement actions
– Be consistently understood and reported

If you’re not using the data, you’re just collecting numbers.

Who should be responsible for defining KPIs in ITIL Measurement and Reporting?

It depends on context, but ideally it’s a shared responsibility:

Leadership defines strategic goals and desired outcomes
Service owners and process managers propose meaningful KPIs aligned to those goals
The reporting function or measurement lead ensures consistency, quality, and governance

The key is collaboration. Don’t let KPIs be handed down without engagement—or bubble up without business context.

How often should KPIs be reviewed or adjusted?

Review your KPIs at least quarterly. Ask:

– Are they still relevant?
– Are they still influencing decisions?
– Is the data reliable and timely?

If a KPI hasn’t triggered a conversation or an action recently, it may need to be retired or replaced. Just like services, KPIs have a lifecycle—review them as part of your continual improvement efforts.

What’s a good way to visualise KPI data for impact?

Use dashboards that are audience-aware:

Executives want high-level trends and business outcomes
Managers want performance trends and team-level summaries
– Teams want root cause, exceptions, and actionable next steps

Use simple visuals: bar charts, trend lines, RAG status indicators. Don’t overcomplicate. Highlight what’s changed, what needs attention, and what’s improving.

The goal is clarity, not decoration.


Final Thought & Further Reading

You don’t need hundreds of KPIs to get this right. You need a clear purpose, a few well-chosen measures, and a team that knows how to act on what they see.

In ITIL 4, Measurement and Reporting isn’t a dashboard—it’s a discipline.

For the definitive guide, please see Axelos’ Measurement and Reporting Management Guide

ITIL Continual Improvement Practice

ITIL Knowledge Management

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Written by

Alan Parker

Alan Parker is an experienced IT governance consultant who’s spent over 30 years helping SMEs and IT teams simplify complex IT challenges. With an Honours Degree in Information Systems, ITIL v3 Expert certification, ITIL v4 Bridge, and PRINCE2 Practitioner accreditation, Alan’s expertise covers project management, ISO 27001 compliance, and service management best practices. Recently named IT Project Expert of the Year (2024, UK).

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