Description

It is essential that companies control the costs of their information system and measure the value created. This course will provide you with the elements to understand the techniques useful for evaluating costs and ROI and choose those that best suit your needs.

Who is this training for ?

For whom ?

DSI, financial departments and management controllers, IT managers, quality managers, auditors.

Prerequisites

Training objectives

Training program

• Introduction: problems and challenges
  • Issues and limits of current models of management control and economic value approach.
  • Evolution of management control in IT.
  • specificities.
  • Role and place of ROI measurement.
  • Evaluation of the IT service.
  • IT is a cost or value center.
  • Cost measurement and models for IS management.
  • Focus on the ITIL Delivery service.
• Definitions and fundamentals of the field
  • Accounting charts.
  • Budget process, analytical and general accounting.
  • Presentation of the management cycle.
  • Major classes of IT costs.
  • Methods for measuring gains: NPV, IRR, Payback Period, EVA.
  • Difficulties of implementation.
  • Recognition and analysis of performance.
  • Cost measurement methods.
  • Classic approaches: direct, indirect, complete cost.
  • The process approach and its variations: ABC, ABM, ABB , TCO.
  • Definitions and application examples.
  • The value approach.
  • The value chain according to Porter.
  • Tangible/intangible benefits.
  • The context of the IT department.
  • Interactions between management control and IS management.
  • The levers: approach exogenous and endogenous.
  • The approach to designing an IT management control system.
• Measuring the contribution of IT
  • Business Case, Val IT and Portfolio: tools for managing and measuring ROI on projects
  • The Business Case.
  • Definition, role, implementation approach implementation of a Business Case.
  • IT Val and project portfolio management.
  • Selection of projects (metrics and qualification).
  • Implementation application of decisions.
  • TCO: reflection on IT costs.
  • Concepts, issues, limits and calculation of TCO.
  • Market benchmarkers.
  • Application difficulties.
  • Demonstration.
  • Example of TCO variation on processes, centers of activity and responsibility, IT budgets and invoicing customer services.
• Measure and manage IS performance
  • The Balanced ScoredCard.
  • Objectives.
  • Approach to implementing a BSC.
  • Example from Customer, Finance perspectives , Scalability, Efficiency.
  • The BSC, an effective communication tool: present the evolution of performance.
  • Budget process.
  • Budget preparation and monitoring .
  • Evaluate the performance of the process.
  • Develop clear presentations.
  • Invoicing for services.
  • Problem.
  • Billing models.
  • Customer needs.
  • Typology of chargeback methods.
• Conducting a Master Plan Value Analysis
  • Analysis of the causes of discrepancies between the priorities given to projects and their actual priorities.
  • The process of selecting and planning a portfolio of projects.