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Representative POMs are described for Inclusion at each level of maturity.

1Initial

• Practice

  Engage stakeholders in TCO decisions on a best endeavour basis.

  Outcome

  Some understanding of TCO is emerging among stakeholders.

2Basic

• Practice

  Review how TCO objectives are aligned with business needs with the IT TCO team.

  Outcome

  Engagement of IT stakeholders in TCO alignment to business objectives occurs.

  Metric

  % of TCO objectives linked to IT objectives.

• Practice

  Ensure TCO metrics are aligned to objectives of local investment stakeholders.

  Outcome

  TCO demonstrates alignment to local objectives.

  Metric

  % of TCO objectives linked to local stakeholder needs.

3Intermediate

• Practice

  Ensure the TCO team engages with other business unit leaders when aligning TCO to their business needs.

  Outcome

  Consistent engagement of IT stakeholders, some input from other parts of the business fosters cooperation.

  Metric

  % of IT TCO objectives linked to business objectives.

• Practice

  Ensure TCO metrics are aligned with the current goals of individual business units and investment stakeholders.

  Outcome

  Decision makers can prioritize relevant TCO initiatives and link these to their own business unit cost management strategy.

  Metrics

  • # of IT project approval requests including TCO criteria.
  • # of IT project approvals aligned to business cost management objectives.

4Advanced

• Practice

  Ensure the TCO team is comprised of IT and other key stakeholders across the organization.

  Outcome

  Consistent engagement of stakeholders across the organization results in full awareness and understanding of TCO across the organization.

  Metric

  % of IT TCO objectives linked to business objectives.

• Practice

  Ensure TCO metrics are aligned to current goals of the organization and link into the finance system of the organization.

  Outcome

  This facilitates decision-making to prioritize TCO initiatives which most benefit the business.

  Metric

  # of business value dials incorporating a TCO perspective/contribution on IT.

5Optimized

• Practice

  Establish regular engagement on TCO decisions between IT and other key stakeholders across the business ecosystem.

  Outcome

  Business and IT leaders can jointly make IT related TCO decisions, confident that IT is fiscally well-managed.

  Metrics

  • % of managers who agree that IT is fiscally well managed.
  • % of IT TCO objectives linked to business objectives.

• Practice

  Align TCO metrics to strategic objectives across the business ecosystem.

  Outcome

  TCO strategy for IT is visible and consistently aligned to customer and partner/supplier objectives.

  Metric

  % of TCO objectives for IT that are supporting the extended value chain cost management strategy.