IT Cost Analysis

Understand the true cost of IT within your organization

The issues

Effective management of a business requires an accurate view of where costs lie in order to correctly gauge whether business activities are genuinely profitable. With the concept of aligning IT with the business, correct allocation of IT costs becomes even more important. One area where there is still little transparency is in the consumption of network bandwidth, and even though bandwidth costs have reduced in recent years, they are still not free. Looking forward, with the introduction of streaming video, Web 2.0, the Semantic Web and other drivers of increased interaction, bandwidth costs are becoming an issue again.

Our approach

Our IT Cost Analysis Service uses technology which has been developed for this purpose over the past ten years and has been used by a number of different companies. It uses a series of accountability rules to apply tariffs and rates, and it can be deployed in a number of different ways, usually by project or within geography. Both fixed and variable costs can be accommodated.

The benefits

The IT Cost Analysis Service is delivered as a SaaS (Software as a Service) project. The main benefits are:

• The ability to accurately allocate IT costs, in terms of geography, projects, services and organizational structure, to business units
• The ability to drill down into the cost model, in order to do a more detailed analysis for specific purposes, such a as tax jurisdiction allocation.
• The ability to introduce network usage chargeback, based on actual amount of bandwidth used.