Manage Performance, Make Trade-Offs
IT leadership must marry the TCO of IT products with deep utilization and quality of Service information. This is the best practice of Performance Management from supply chains. This helps IT drive up the return on existing assets and drive down unit rates to business units. It also lays the foundation for a robust dialogue with the business units on cost and quality of IT services that drives trade-offs based on business priorities.
IT must benchmark the TCO of their IT products and services rigorously against industry peers, similar size organizations and internally between and across business units. This process establishes both an objective measure of IT efficiency and effectiveness and identifies opportunities for focus.
