Scope, Granularity, and Sophistication
Establish budget tracking and forecasting approaches (for example, single versus multi-year analysis).
Improvement Planning
Practices-Outcomes-Metrics (POM)
Representative POMs are described for Scope, Granularity, and Sophistication at each level of maturity.
- 1Initial
- Practice
- Rely on the best endeavours of available personnel.
- 2Basic
- Practice
- Track IT budget performance within the current period, at the project level.
- Outcomes
- Analysis includes in-period tracking of larger projects and some budget categories.
- Oversight and performance analysis can be performed at the project level.
- Metric
- % of projects with budget analysis reported.
- Practice
- Forecast IT budget performance within the current period, at the project level.
- Outcomes
- Analysis includes in-period trending of larger projects and some budget categories.
- Oversight and performance analysis can be performed at the project level.
- Metric
- % of projects with budget analysis trended.
- 3Intermediate
- Practice
- Perform in-period tracking of all IT budget categories.
- Outcomes
- There is greater visibility of performance against budget for stakeholders.
- Oversight and performance analysis can be performed at period level.
- Metric
- $ change from original planned budget for each project totalled then presented as % of original budget (and last months budget) across all projects.
- Practice
- Carry out in-period trending of all IT budget categories.
- Outcome
- Oversight and performance analysis includes in-period trending of all budget categories, with greater visibility of expected performance against budget for stakeholders.
- Metric
- $ change from original planned budget for each project totalled then presented as % of original budget (and last months budget) across all projects.
- 4Advanced
- Practice
- Fully automate multi-year tracking of specific IT budget categories.
- Outcome
- More accurate analysis is available to management, in a more timely manner.
- Metrics
- % of projects meeting expected TCO.
- % of projects meeting expected ROI.
- Annual cost of IT per IT employee.
- Annual cost of IT per organization employee.
- Practice
- Fully automate multi-year trending of specific IT budget categories.
- Outcome
- More accurate analysis includes fully automated multi-year trending of specific budget categories, available to management in a more timely manner.
- Metrics
- % of projects meeting expected TCO.
- % of projects meeting expected ROI.
- Annual cost of IT per IT employee.
- Annual cost of IT per organization employee.
- 5Optimized
- Practice
- Optimize the budget analysis process with multi-year tracking of all budget categories.
- Outcomes
- Real-time information is always available for analysis.
- Multiple views of the data to facilitate decision-making at different levels of the organization is provided.
- The ability to query on a real-time basis allows management to make decisions based on fact rather than assumptions.
- Metrics
- % of projects meeting expected TCO.
- % of projects meeting expected ROI.
- Annual cost of IT per IT employee.
- Annual cost of IT per organization employee.
- Practice
- Optimize the multi-year budget performance forecasting process, with all budget categories included.
- Outcomes
- A link has been established between the output of the IT budget oversight process and strategic decision-making; regarding costs, future allocations, and project prioritization.
- Management have the ability to make decisions quickly,since real-time information always available for analysis.
- Metrics
- % of projects meeting expected TCO.
- % of projects meeting expected ROI.
- Annual cost of IT per IT employee.
- Annual cost of IT per organization employee.