How to start your Cost Transparency journey
Your Cost Transparency Journey
Last week we explained what the Technology Business Model (TBM) is and its benefits. This post will guide you on your journey toward true Cost Transparency.
If this robust model seems too complex for your company, remember that TBM is an opportunity for continuous improvement. Just as we did in our early stages, it is possible to start crawling before you walk and eventually run.
Cost Transparency: One Step at a Time
Optimising IT costs is not a project, but a discipline. Here are the stages to consider in your process:
1. Understand Investments and Value
Research shows small businesses throw away millions each year on unused digital tools. TBM addresses this lack of awareness, aligning IT and Finance to ensure tools actually add value.
2. Capability to Deliver Data
Access to trustful, real-time data establishes a CIO's reputation for providing strategic outcomes. It transforms the IT conversation from "costs" to "value."
3. Consistency
Consistency builds credibility. Business leaders begin to rely on IT for evidence-based data that supports high-stakes decision-making.
4. Identifying Redundancies
With integrated data, it's easy to spot inefficiencies caused by decentralized spending. You can take control of costs without sacrificing business value.
5. IT Empowered
In the final stage, CIOs are proactive leaders who don't just anticipate needs, but identify the technology investments that will unlock growth.
The First Step
To reach your desired maturity level, start small. Address the most valuable areas first—for example, contractor spend. With Yarken Foundation, you can optimize your IT spend today.
Providing IT management with better information helps decrease costs, reduce effort, and bridge the chasm between IT and business processes.