Glossary of AI and ITSM Terms
Clear definitions of the fundamental concepts, frameworks, and practices shaping artificial intelligence and service management.
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AI
ITSM
AI
Artificial Intelligence
The field of computer science focused on creating systems that can perform tasks that normally require human intelligence, such as reasoning, learning, problem-solving, perception, and language understanding. AI can range from simple rule-based automation to advanced learning systems like ChatGPT.
Machine Learning
A subset of AI that enables systems to automatically learn and improve from experience without being explicitly programmed. Instead of following fixed instructions, ML models find patterns in data and use them to make predictions or decisions.
Big Data
The processing of large volumes of structured and unstructured data from different sources to generate insights and new knowledge.
Neural Networks
A machine learning architecture inspired by the human brain, composed of layers of interconnected nodes (“neurons”). Neural networks power many modern AI applications, from image recognition to natural language processing.
Transformer
A breakthrough neural network architecture introduced in 2017 that processes data (like text) in parallel and captures long-range relationships using “attention” mechanisms. Transformers are the foundation for today’s large language models.
Large Language Model (LLM)
A type of AI model, typically based on the transformer architecture, trained on massive text datasets to understand and generate human-like language. Examples include GPT, LLaMA, and Claude. LLMs can answer questions, summarize text, write code, and more.
Natural Language Processing (NLP)
A branch of AI that enables machines to understand, interpret, and generate human language. NLP underpins applications like chatbots, voice assistants, machine translation, and sentiment analysis.
Generative AI
A class of AI systems that can create new content — text, images, audio, or video, rather than just analyzing existing data. Popular examples include ChatGPT (text), MidJourney (images), and ElevenLabs (voice).
Prompt Engineering
The practice of designing and refining the inputs (prompts) given to generative AI systems to get better, more accurate, or more creative outputs. Effective prompt engineering can significantly improve the performance of LLMs.
Fine-Tuning
The process of taking a pre-trained AI model (like an LLM) and training it further on specialized data so it performs better on a specific task or domain.
AI Agent
An AI system designed to autonomously perform tasks, often by combining reasoning, planning, memory, and tools. Unlike simple chatbots, AI agents can take multi-step actions, for example, booking a meeting, searching the web, or running code.
Human-in-the-Loop
An approach to AI system design where human oversight is integrated into the decision-making process. Humans review, correct, or guide AI outputs to ensure accuracy, fairness, and safety, especially in high-stakes applications like healthcare or finance.
Retrieval-Augmented Generation (RAG)
A technique that combines large language models with external knowledge sources (such as a database or document library). Instead of relying solely on what was in its training data, the model retrieves up-to-date or domain-specific information before generating a response.
Open Weights Models
AI models whose trained parameters (the “weights”) are released publicly, allowing others to download and run the model. Unlike fully open-source projects, open weights models do not always include the training code, datasets, or complete reproducibility. This makes them accessible for experimentation, customization, and deployment, while the original developers retain tighter control.
Examples include: Meta’s LLaMA, Mistral’s Mixtral, and Falcon.
Open Source Models
AI models and tools whose source code, training scripts, and often datasets are made publicly available under an open-source license. This allows full transparency, reproducibility, and community-driven innovation. Developers can freely modify, retrain, or redistribute these models.
Examples include: Stability AI’s Stable Diffusion, Hugging Face’s model libraries, and EleutherAI’s GPT-NeoX.
ITSM
IT Service Management
A structured approach to designing, delivering, managing, and improving the way IT services are used within an organization. ITSM focuses on aligning IT services with business needs and ensuring consistent, high-quality service delivery.
Information Technology Infrastructure Library (ITIL)
A globally recognized framework of best practices for IT service management. ITIL provides guidance on processes, roles, and responsibilities to help organizations deliver reliable, efficient, and customer-focused IT services.
Service Lifecycle
The structured stages through which an IT service passes, from its initial strategy and design to transition, operation, and eventual retirement. The service lifecycle ensures that services remain aligned with business goals at every stage.
Service Value System
An ITIL 4 concept that represents how all components and activities of an organization work together to create value. The SVS emphasizes collaboration, governance, practices, and continual improvement to deliver outcomes that benefit both the business and its customers.
Continual Service Improvement
A practice within ITSM focused on regularly evaluating and enhancing IT services, processes, and performance. CSI ensures that services evolve to meet changing business needs and deliver greater efficiency over time.
Incident Management
The process of restoring normal service operations as quickly as possible after an unplanned disruption or service failure. The goal of incident management is to minimize downtime and its impact on business operations.
Problem Management
A proactive practice aimed at identifying and addressing the root causes of recurring incidents. Problem management reduces the likelihood and impact of future disruptions by implementing long-term fixes instead of short-term workarounds.
Change Management
A structured approach for ensuring that changes to IT services, systems, or infrastructure are planned, tested, and implemented with minimal risk. Change management balances business agility with stability and reliability.
CMDB
The practice of maintaining accurate information about the components of an IT environment, including hardware, software, systems, and their relationships. A Configuration Management Database (CMDB) is the central repository used to store and manage this information.
Knowledge Management
The process of capturing, organizing, sharing, and maintaining information to improve efficiency and decision-making. In ITSM, knowledge management often includes knowledge bases and self-service portals to help users resolve issues quickly.
Service Catalog
A centralized repository that lists all active IT services available to users, along with their descriptions, pricing, and support details. The service catalog provides transparency and helps users request services more effectively.
Service Level Agreements (SLA)
Formal agreements between a service provider and a customer that define the expected level of service. SLAs typically outline measurable performance targets such as uptime, response times, and resolution times.
Operational Level Agreements (OLA)
Internal agreements between teams or departments within an organization that support the fulfillment of SLAs. OLAs define responsibilities and performance targets to ensure consistent and coordinated service delivery.
Business impact analysis (BIA)
A key activity in business continuity management that identifies critical functions for the organization and their dependencies.
Compliance
Adhering to standards, regulations, or guidelines, ensuring consistent practices such as accounting or governance.
Configuration item (CI)
Any component that needs to be controlled and managed to deliver an IT service.
Configuration management database (CMDB)
A repository that stores configuration records throughout their lifecycle, while also managing the relationships between them.
Continual improvement practice
A practice aimed at constantly aligning processes and services with business needs by identifying and improving all elements that support effective service management.
Customer experience (CX)
The overall perception a customer forms through both practical and emotional interactions with a service and its provider.
Deployment management practice
The process of releasing hardware, software, documentation, procedures, or other service components, whether they are new or updated, into the production environment.
DevOps
A cultural and organizational approach designed to improve the delivery of value to customers, focusing on collaboration, automation, Lean principles, measurement, and sharing.
Escalation
The act of raising awareness or transferring responsibility for a problem or task to a higher level.
Event
Any state change that is relevant for managing a service or a configuration item.
Incident
An unplanned interruption of a service or a reduction in its quality.
Incident management
The practice of minimizing the impact of incidents by restoring normal service operation as quickly as possible.
Information security management practice
The practice of protecting an organization by identifying and managing risks to the confidentiality, integrity, and availability of information.
Infrastructure and platform management practice
The supervision of infrastructure and platforms used by the organization, including the monitoring of in-house and third-party technologies.
IT asset
Any component with financial value that contributes to delivering a product or an IT service.
IT asset management practice
The management of the full lifecycle of IT assets, from planning to disposal.
IT service
A service delivered through the use of information technology.
ITIL
A set of best-practice guidelines for IT service management.
ITIL guiding principles
Recommendations that provide direction to an organization under any circumstances, regardless of changes in goals, strategies, or structure.
ITIL service value chain
An operating model describing the core activities required to effectively manage products and services.
Knowledge management practice
The practice of ensuring effective, efficient, and practical use of information and knowledge within the organization.
Mean time between failures (MTBF)
A metric that measures how often a service or component experiences a failure.
Mean time to restore service (MTRS)
A metric that measures how quickly a service is restored after an outage.
Monitoring and event management practice
The practice of systematically observing services and their components, recording and analyzing significant state changes identified as events.
Problem management practice
The practice of reducing the likelihood and impact of incidents by identifying root causes and managing workarounds and known errors.
Project management practice
The practice of ensuring that all organizational projects are successfully completed.
Recovery time objective (RTO)
The maximum acceptable period of service downtime before the lack of business functions causes severe impact.
Service catalogue
A structured collection of information about all services and service offerings available to a defined audience.
Service continuity management practice
The practice of ensuring that service availability and performance are maintained at an adequate level during disasters or major disruptions.
Request catalogue
The section of the service catalogue that lists and describes available service requests for users.
Request for change (RFC)
A formal proposal used to initiate the authorization and management of a change.
Service desk
The primary contact point between users and the service provider.
Service management
A set of specialized organizational capabilities that enable value creation for customers in the form of services.
Service offering
A formal description of one or more services tailored to meet the needs of a specific group of users; it may include goods, access to resources, and provider actions.
Service request
The primary contact point between users and the service provider.
Workaround
A temporary solution that reduces or removes the impact of an incident or problem while a permanent fix is not yet available.
User experience (UX)
The total perception and feelings of a user shaped by functional and emotional interactions with a service and its provider.
Status
The condition or state an entity is in at a given point in time.
Value stream
A sequence of steps an organization takes to design, create, and deliver products and services to customers.