How do you best define software vs application from ServiceNow perspective?

[Heather McElroy]

It seems that the terms 'software' and 'application' can be often used interchangeably from my experience. How do you best describe the two terms when explaining to IT and non-IT from a ServiceNow perspective? For example, Visual Studio - do you consider it software or a business application?  

[Matt Temple]

Any application that costs money via upfront costs, subscriptions, and/or by consuming resources is my primary driver for registration into the APM and CMDB. Secondary reasons may include need to track compliance, approval, support, deployments, workflows, etc.

I don't believe an Application must be used by a person in order to qualify as an "application". Platforms or middleware applications are sometimes used by a "business-facing" application and no direct user interaction. Thus, how the application is accessed should not be part of the definition.

Below are some definitions I've been using for the past 15 years with some tweaks applied to reflect current times...

Some terms have flavoring of a Technology shop focused on supporting/developing "Products". Please bear this in mind as the terms are intentionally designed for use by organizations supporting/developing Products as well as Applications.

Application is identifiable software or tightly coupled software components providing functions required by a Service/Product. An Application may be part of one or more Services/Products, but can only be associated to one Application Family. An Application is ran or hosted on one or more Servers or Clients (including Cloud instances).
NOTE: This definition is intentionally generic to permit recognizing desktop applications (eg Excel, Word), off-the-shelf applications (eg Salesforce, Box), and in-house developed applications. Desktop applications should be tracked, but limited to the Application (or major version of) itself…not the various deployments of it unless a business need dictates otherwise. Deployment tracking should be done elsewhere.

Application Family is a collection or categorization of one or more Applications. It is a label generally used within an IT organization (not listed in the Service Taxonomy or "Bill of IT" provided to supported Technology clients). An Application can only be a member of a single family. The use of Application Family enables more generic conversations about Applications when specificity is not needed.
NOTE: Application Families are not directly related to Services except by way of relationship defined between an Application and a Service/Product. Therefore, an Application Family could be related to multiple Services/Products.

Application Portfolio is a collection of all Application Families and, therefore, all Applications. 

Application Portfolio Management is a management framework for IT decision makers to work and govern the Applications contained in the portfolio. 

Platform is a classification of an application. A platform classification indicates the application is required for the operation of two or more other applications.
NOTE: An application is not a platform if it supports one application. Applications providing a monitoring function are not platforms. Applications providing direct support to large volumes of users (eg Office 365, SharePoint, various desktop applications, etc) do not qualify for platform classification.

Product is alternative label used for a Service. Typically, Product is used exclusively by Agile teams and IT organizations organized as a DevOps practice. A Product is not equivalent to an Application nor Application Family. See Service for further information.

Service is the means of delivering value to customers by facilitating outcomes customers want to achieve without ownership of specific costs and risks nor awareness of underlying resources and processes needed. Services can comprise of none, one, or many Applications and/or other Services.
NOTE: More info can be found by researching "ITIL standards".

[AlisaA]

Hey @Heather McElroy 

From a ServiceNow perspective, distinguishing between "software" and "application" is important for managing IT assets and services effectively. Here’s how they differ:

1. Software: In ServiceNow, "software" generally refers to the broader category of programs or sets of instructions that run on hardware. This can include operating systems, utilities, and drivers, as well as other types of software that provide foundational or supportive functions for computing environments.

2. Application: An "application," often referred to as a "software application," is a specific type of software designed to perform a particular function or set of functions for the end-user. In ServiceNow, applications are typically cataloged as part of the organization's service portfolio, and they are often associated with business processes or user-facing tasks. Examples include CRM systems, ERP software, and productivity tools like Microsoft Office.

When managing assets in ServiceNow, software applications are usually tracked as individual components within the broader software category. This differentiation is crucial for asset management, licensing, and ensuring compliance with organizational standards.

Understanding this distinction can help streamline how you categorize and manage IT resources within ServiceNow, ultimately supporting better governance and efficiency in your IT operations.

[ramn52539556734]

From a ServiceNow perspective, software generally refers to installable executables or licensed products (e.g., Visual Studio as development software) while an application is the functional service or solution layer consumed by end-users or mapped in CMDB for business outcomes. In software product development this distinction helps in asset management and governance. Firms like CONTUS Tech often align these definitions to ensure clarity in ITSM and enterprise architecture practices.