TBM Framework & Taxonomy

In this video, @Todd Tucker presents cost modelling and allocation for business units best practices.

Please watch this video prior to our May 27 Standards Committee Open Forum, as this is a topic we will discuss then.

In this video, we cover a lot of material, including:
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• Why Allocate IT Costs to Your Business Units
• Modern vs. Legacy Approaches
• For What Are You Allocating Costs?
• Costing vs. Billing vs. Chargeback
• Considerations when Shaping Demand
• Introduction to Rates Management
• Types of Rates
• Accountability for Rates vs. Volumes
• How to Set Rates
• Showback (Billing) and the Bill of IT
• Cost Recovery and Variances
• Demand Levers vs Cost Structure
• Common Data Challenges