TCO Benchmark Solution

Increase the value of IT by improving your IT cost management effectiveness using the Total Cost of Ownership (TCO) / Total Cost of Technology (TCT) Benchmark Solution.

View Video Presentation

The Total Cost of Ownership (TCO) Benchmark Solution is used to gather your current costs, compares you to a benchmark index, highlights opportunities for improvement, and assists in simulating the outcome of IT planning initiatives with a cost/benefit analysis TCO business case.

Features

TCO Benchmarking Solution provides a methodology and process to determine what your true cost of computing is today, how your key performance indicators compare to a benchmark index, where your opportunities for improvement are, business case development, and return on investment (ROI) analysis.

Step 1 - Data Collection:

We assist you in collecting your costs, service levels, and key performance indicator data and then structures it into an industry accepted IT Financial Management model based on the IT Infrastructure Library (ITILÔ) framework.  This determines what your organization is spending today on a per User basis for your distributed computing environment. TCO Assessment tools are used for this step including End User eSurveys, IT Staff Surveys, customized TCO Workshops and myKPI© Data Collection Tools/Services helping automate the data collection process.

 

Step 2- KPI Comparison:

We prepare a detailed report on the current IT cost distributions, ITIL readiness status, what best practices improvements can avoid/reduce costs, a baseline for future comparisons and a status-quo future budget forecast. Additionally, over 50 key performance indicators are captured, compared to a benchmark index and then assessed with a trouble-indicator diagnostic tool to provide a root-cause analysis report of findings and recommendations. This determines where there may be opportunities for cost reduction or service level improvements helping formulate your IT strategy to improve cost effectiveness.

 

Step 3 - Highlight Opportunities:

Based on your analysis report of findings and recommendations, we highlight actions you may take to develop an improvement plan with a projected outcome. This step tests for current best practices maturity and where improvements can be made to improve your management effectiveness. 

 

Step 4 - IT Planning & Business Case Development:

We test the economic benefits of IT planning and improvement initiatives. The cost benefit analysis (CBA) of additional Information Technology (IT) planning initiatives are tested for positive return on investment (ROI). This determines the impact on your TCO providing the cost justification required for effective business case development and senior management approvals. The business case will include projected return on investment (ROI), internal rate of return (IRR), net present value (NPV), overall cost benefit analysis (CBA) and risk thresholds.

TCO Benchmark Study Report

The TCO Benchmark Study report is a comprehensive document containing between 50 - 100 pages of meaningful facts and recommendations. 

 File: TCO001.htm