While most executives within a company understand IT’s criticality, it is often viewed as a black box by the business units it supports and the financial division responsible for the company’s budgeting.
Technology Business Management (TBM) helps organizations move away from traditional IT budgeting and cost accounting approaches, which often focus on cost reduction and do not provide a clear view of the value that technology investments deliver to the business. Instead, TBM provides a holistic view of technology spending across the organization, enabling leaders to make data-driven decisions about where to invest and where to cut costs.
TBM is a framework that provides a holistic view of IT costs, investments, and services, enabling organizations to align their IT resources with their business goals. It helps organizations to optimize their IT spending, make better decisions, and achieve their strategic objectives.
At Strategic Solutions we believe that TBM is crucial for successfully implementing the competitive advantages offered within Industry 4.0. As part of our consulting 4.0 service, we specialize in using TBM to help our clients achieve their Industry 4.0 goals – where there is a need to manage complex, interconnected systems that span different areas of the business. Here are some of the benefits you can expect when implementing the TBM framework and utilizing its taxonomy.
Improved cost transparency: TBM provides a clear view of IT costs, investments, and services, enabling organizations to see where their money is being spent and identify areas where savings can be made. We can even provide you with cost transparency tools that allocate IT costs accurately and gain insights into where IT investments are delivering the most value.
Better decision-making: With TBM, organizations can make data-driven decisions based on a clear understanding of their IT costs and services. This enables them to prioritize investments, optimize spending, and make better decisions about how to allocate resources. There are a range of TBM financial planning tools that enable organizations to plan and budget their IT spending effectively. These tools enable organizations to align their IT investments with their business goals and make informed decisions about how to allocate resources.
Increased agility: TBM enables organizations to respond quickly to changing business needs and market conditions. With a clear view of their IT resources and costs, they can make informed decisions about how to adapt their IT services to meet evolving business needs. TBM reporting and analytics tools provide organizations with a clear view of their IT costs and investments, enabling them to make data-driven decisions about how to optimize their IT resources.
Improved service quality: TBM enables organizations to deliver high-quality IT services that meet the needs of their users. With a clear view of IT costs and services, they can identify areas where service quality can be improved and take action to address issues. TBM service costing tools enable organizations to understand the true cost of IT services, including both direct and indirect costs. This enables organizations to identify areas where service costs can be optimized and allocate resources more effectively.
Greater business value: By using TBM to manage their IT resources effectively, organizations can deliver greater business value. They can align their IT resources with their business goals, optimize their spending, and make data-driven decisions that drive business growth. TBM benchmarking tools enable organizations to compare their IT costs and services against industry standards and peer organizations. This helps organizations identify areas where they can improve their performance and optimize their IT investments.
Cloud Migration: There are even tools to help organizations manage their cloud migration effectively. These tools enable organizations to plan and budget their cloud migration, optimize their cloud spending, and ensure that their cloud investments are delivering the expected business value.
Through TBM we help our clients achieve greater transparency, make better decisions, and deliver greater business value. Contact us today to learn more about how we can help your organization achieve success in Industry 4.0.
