DS06 Cost Accounting

Ensures that costs are recorded, calculated and allocated to the required level of detail and to the appropriate service offering.

Costing Procedures: Periodically evaluate the results of the information service function's job cost accounting procedures, in light of the organization's other financial measurement systems,
Cost variance Reporting: Variances between forecasts and actual costs are analyzed and reported on to facilitate the cost monitoring,
User Billing and Chargeback Procedures: define and use billing and chargeback procedures where applicable.

Continued cost optimisation of information services by the IT function
Continued cost optimisation of information services by users
Increased ratio of proven benefits to actual costs of IT services
Index of efficiency, based on a comparison of internal with external provider costs
Business management understanding/acceptance of IT costs and service levels

develop and implement Total Cost of Technology (TCT) model for desktop technology

End-users, business process owners and the IT organisation share a common understanding of costing requirements and cost allocation
Direct and indirect costs are identified, captured, reported and analysed in a timely and automated manner
Costs are charged back on the basis of utilisation and recorded in charge-back principles that are formally accepted and regularly re-assessed
Cost reporting is used by all parties to review budget performance, to identify cost optimisation opportunities and to benchmark performance against reliable sources
There is a direct link between the cost of the service and the service level agreements
The results of cost allocation and optimisation are used to verify benefit realisation and are fed back into the next budget cycle