A capability is something the institution does — Student Enrolment, Student Support, Financial Management — stated in the language of the mission, not the vendor's catalog. Unlike a product, it lasts: systems come and go, but the capability endures. Everything else in the model hangs off this spine, which is why the whole catalog is organized around it.
Anchor every system to the capability it delivers and overlap, gaps, and comparison across peers fall out of the structure. The names and definitions here are the HERM Business Reference Model's Level-1 capabilities.
Capability names, codes, and definitions are from the CAUDIT Higher Education Reference Models (HERM) v3.2.0, CC BY-NC-SA 4.0.