Demonstrating IT Value Through Cost Transparency

Technology accounts for a significant portion of total operating costs and capital investment for many industries. That means it has become an ongoing strategic imperative for firms to establish and maintain efficient IT operations.

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At the same time, the evolution of cloud technologies has promoted cost transparency for a range of services, which can now be accessed on a pay-per-use model. Business users now have access to pricing information that they can use to benchmark their own internal IT operations. From an enterprise IT perspective, these trends have prompted a growing need for cost transparency.

This paper will:

  • Explain the drivers encouraging greater cost transparency for IT organisations
  • Analyse the six success factors for any IT cost transparency initiative
  • Detail other key considerations, including: the importance of product / service catalogues, merits of showback versus chargeback models, use of cost levers and incentive-based pricing, and the dangers of business users gaming the system.

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The author

Michelle Ciraco

Michelle Ciraco

Associate Partner, London

Michelle is a business-focused technologist with more than ten years’ experience delivering high quality work for blue chip financial institutions. Her areas of expertise include cost transparency, infrastructure and platform engineering, as well as project and program management.