How to Develop a Cost Allocation Program for IT Services

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26 Pages

IT resources have become one of the most significant support costs in modern organizations. To help control these costs, it is essential that they are accurately allocated to entities like departments, projects, and even products and services.

"How to Develop a Cost Allocation Program for IT Services" will show you how to develop a systematic and fair cost allocation program. Insight provided includes:

  • Business drivers for allocating IT costs.
  • Criteria for an allocation system.
  • How to properly allocate costs.
  • The role of metrics, service level agreements, and performance measurement in allocation.
  • Leading challenges to effective cost allocation.

Bottom Line

IT resources must be correctly allocated to entities like departments, business units, and projects. Use this guide to fully understand IT services cost allocation, where it is best applied, and issues involved in rolling out an allocation system.

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