Application Performance Management

What Does Application Performance Management Mean?

Application performance management (APM) is a practice within systems management that targets managing and tracking the availability and efficiency of software applications. APM involves translating IT metrics into business meaning. It examines the workflow and the associated IT tools that are deployed to analyze, identify and report application performance concerns to make sure the expectations of businesses and end-users are met.


Application performance signifies how quickly transactions are accomplished or details are sent to end-users using a particular application. Application performance management is commonly used for Web applications built on Microsoft .NET and JEE platforms.

Techopedia Explains Application Performance Management

APM monitors performance in two steps:

  1. It measures the resources that are used by the application
  2. It measures the experience of end-users, which has two components: The time taken for the application to respond from an end-user's perspective, and the number of transactions that go through the system in the course of response-time calculations.

These methods will eventually help to create a performance baseline consisting of three high-level categories:

  • Response times/transaction performance
  • Resource consumption
  • Transaction volume

Application performance management is associated with real-user management and end-user experience management. Among these, assessing the experiences of real users while using an application in production is regarded as the most genuine method. Optimum productivity can be accomplished more effectively by means of event correlation, predictive analysis and system automation.

According to research conducted by Gartner, APM consists of five unique functional dimensions:

  • Monitoring of end-user experience
  • Modeling and application runtime architecture discovery
  • User-defined transaction profiling
  • Application data analytics
  • Deep-dive application monitoring

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Margaret Rouse
Technology Expert

Margaret is an award-winning technical writer and teacher known for her ability to explain complex technical subjects to a non-technical business audience. Over the past twenty years, her IT definitions have been published by Que in an encyclopedia of technology terms and cited in articles by the New York Times, Time Magazine, USA Today, ZDNet, PC Magazine, and Discovery Magazine. She joined Techopedia in 2011. Margaret's idea of a fun day is helping IT and business professionals learn to speak each other’s highly specialized languages.