Implement an IT Chargeback System

Explain IT costs in ways that matter to the business.

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Fail to implement IT chargeback effectively and you will:

  • Continue to charge for IT services using technical cost drivers that the business does not understand or acknowledge, resulting in significant pushback.
  • Frustrate business owners who will continue to purchase external services without consulting IT, resulting in more shadow IT.
  • Continue to be seen as a cost center, rather than a business partner.

Perform the IT chargeback workshop and you will:

  • Develop a chargeback model that brings transparency to the flow of IT costs through to business value.
  • Bring transparency to IT spending.
  • Hold business units accountable for IT service costs and usage.
  • Recover IT costs fairly from those that benefit from them.

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Onsite Workshops offer an easy way to accelerate your project. If you are unable to do the project yourself, and a Guided Implementation isn’t enough, we offer low-cost onsite delivery of our Project Workshops. We take you through every phase of your project and ensure that you have a road map in place to complete your project successfully.

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Member Rating

9.0/10
Overall Impact

$11,070
Average $ Saved

64
Average Days Saved

After each Info-Tech experience, we ask our members to quantify the real-time savings, monetary impact, and project improvements our research helped them achieve.

Read what our members are saying

Module 1: Kick-Off IT Chargeback

The Purpose

  • Make the case for IT chargeback.
  • Identify the current and target state of chargeback maturity.
  • Establish a chargeback governance model.

Key Benefits Achieved

  • Investigated the benefits and challenges of implementing IT chargeback.
  • Understanding of the reasons why traditional chargeback approaches fail.
  • Identified the specific pathway to chargeback success.

Activities: Outputs:
1.1 Investigate the benefits and challenges of implementing IT chargeback
  • Defined IT chargeback mandate
1.2 Educate business owners and executives on IT chargeback
  • IT chargeback kick-off presentation
1.3 Identify the current and target state of chargeback maturity
  • Chargeback maturity assessment
1.4 Establish chargeback governance
  • IT chargeback governance model

Module 2: Develop the Chargeback Model

The Purpose

  • Develop a chargeback model.
  • Identify the customers and user-facing services.
  • Allocate IT costs.
  • Determine chargeable service units.

Key Benefits Achieved

  • Identified IT customers.
  • Identified user-facing services and generated descriptions for them.
  • Allocated IT costs to IT services.
  • Identified meaningful, measurable, and manageable chargeback service units.

Activities: Outputs:
2.1 Identify user-facing services and generate descriptions
  • High-level service catalog
2.2 Allocate costs to user-facing services
2.3 Determine chargeable service units and pricing
2.4 Track consumption
2.5 Determine service charges
  • Chargeback model

Module 3: Communicate IT Chargeback

The Purpose

  • Communicate the implementation of IT chargeback.
  • Establish a process for recovering the costs of IT services from business units.
  • Share the financial results of the charge cycle with business owners.

Key Benefits Achieved

  • Managed the transition to charging and recovering the costs of IT services from business units.
  • Communicated the implementation of IT chargeback and shared the financial results with business owners.

Activities: Outputs:
3.1 Create a communication plan
  • IT chargeback communication plan
3.2 Deliver a chargeback rollout presentation
  • IT chargeback rollout presentation
3.3 Establish a process for recovering IT costs from business units
  • IT service cost recovery process
3.4 Share the financial results from the charge cycle with business owners
  • IT chargeback financial presentation

Module 4: Review the Chargeback Model

The Purpose

  • Gather and analyze feedback from business owners on the chargeback model.
  • Make necessary modifications to the chargeback model and communicate implications.

Key Benefits Achieved

  • Gathered business stakeholder feedback on the chargeback model.
  • Made necessary modifications to the chargeback model to increase satisfaction and accuracy.
  • Managed changes by communicating the implications to business owners in a structured manner.

Activities: Outputs:
4.1 Address stakeholder pain points and highly disputed costs
4.2 Update the chargeback model
  • Revised chargeback model with business feedback, change log, and modifications
4.3 Communicate the chargeback model changes and implications to business units
  • Chargeback change communication
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